Sep 26, 2024

Is This Your Situation: Employees Keep Asking for Cash Advances

Employees keep knocking on your door, needing a cash advance. You want to help them but it’s a huge headache. Read through to learn about a payroll add-on to help you and your employees.

 

Chances are you have given an employee an advance on his or her pay; but if you haven’t, it may just be a matter of time. Employee advances are something that many employers give regularly to help support employees who have to live paycheck to paycheck.

What is an employee cash advance?

An employee cash advance or a payroll advance is something you as an employer can provide to employees in order to help them smooth out their cash flow. Typically, an employee would request a cash advance from your payroll department with the intention of having the advance repaid on the next paycheck. Unfortunately, this doesn’t always go as planned.

Reconciliation of advances, trying to track down employee payments, and notifying your payroll department of deductions aren't things you should have to worry about. Unfortunately, many employers choose to take on this burden and, in some cases, end up out of pocket for employee advances. That’s right, while you are working hard to reconcile payments and keep track of which employee owes you what, chances are you overextended someone and the risk of them quitting and leaving you with the bill is very real. As a result, only 13% percent of employers give cash advances even though 78% of all employees live paycheck to paycheck.

We have partnered with ZayZoon, a solution that can help your employees and save you a lot of hassle.

How ZayZoon Can Help with Employee Advances

ZayZoon is a financial technology company that was created to help employees get ahead of sudden expenses, protecting and improving their sense of financial wellness. Through partnerships with payroll and employers, ZayZoon gives employees access to their earned wages, well before payday, so they can avoid payday loans and bank overdraft fees. ZayZoon is not a loan, it is a fixed fee service for employees and there are no administration requirements for the employer. ZayZoon assumes the risk of advancing the funds and the administrative overhead of managing cash advances, all at no cost to the employer.

Users can instantly access their wages as earned– 24 hours a day, 7 days a week, 365 days a year and funds can be transferred by ZayZoon to their bank account in seconds. Employers who use ZayZoon find on average 12% of their employees use the service, improving employee wellness, productivity and increasing retention.

Are you ready to change the way you think of payday? Ask us about ZayZoon today!

©2024


 

MORE RECENT NEWS…


Sep 25, 2024

Good and Bad Job Application Questions: What To Ask

When interviewing prospective candidates as you look to fill open positions in your company, the questions you ask — and don't ask — can make all the difference. Read through to learn how to choose your questions wisely when meeting with applicants.


Sep 24, 2024

Is This Your Situation: Sorting Out Exempt vs. Nonexempt Employees

Some employees have to be paid their hourly wage, or even more, if they put in extra time. Others are expected just to put in the extra time anyway. Read through for an introduction to the complex world of exempt vs. nonexempt employees.


Sep 23, 2024

Why Use Time and Attendance Software?

How do you track your employees' time and attendance? It's easier said than done, but modern companies have options. Read through to see how to manage pay, appropriately compensate employees for their work and eliminate bottlenecks in payroll.


Sep 13, 2024

7 Fantastic Secrets of Automated Timekeeping That Save Your Company Money - cont'd

Secret #4: Manage Off-site Early Punch-ins with Real-Time Geofencing Notifications


Aug 30, 2024

7 Fantastic Secrets of Automated Timekeeping That Save Your Company Money - cont'd

Secret #3: Reduce Impact on Staff with Self-Service Access to Timecards, Pay Stubs, and PTO Balances


Aug 29, 2024

Getting Offboarding Right

At some point, your employees will leave the company. When that time comes, it's important to do what you can to ensure a smooth departure. Read through for insight into offboarding employees the right way.




More News & Press can be found in our Archive.