I know that is a bold statement, but given the chance to back off from it, I’ll leave it right where it is.  If you have hourly employees, there is nothing better that you can do to help retain good people and show them that you are invested in their financial wellbeing than working with PayActiv.  PERIOD.  And the best part is, PayActiv is essentially FREE!! (there may be a little time and set-up costs, but not much).

Here’s how it works.  Every business that has employees knows the plight of so many of them.  Many live paycheck to paycheck and if something unforeseen happens, like a broken down vehicle or family illness or other expense that they weren’t counting on, they have no way to make up the difference in their pay without coming to you for an advance on their paycheck or worse, heading over to the predatory payday lender to get a 2 week loan at 25-30% interest.  That is where PayActiv comes in.  Their proprietary system ties in to your payroll system so that employees can draw on money that they have already earned, but have not yet been paid.  PayActiv loans the employee any amount that they need, up to half of what they have earned.  They then are paid out from you once the payroll has been run.  The best part is, they make this loan for a tiny fee (I know ours was $5 for 2 week worth of access) which allows the employee to collect on money that they have already earned through their labors with you and your business.  If the employee needs more money, they can go back within the 2 week pay period and draw more money that they have earned, without paying an additional fee.

Now, I know the next question you will have.  “But what if the employee has worked 10 hours at $10/hour, draws out $50, and has $60 in deductions for charged meals, uniforms, etc… Do I lose money on that?”  The simple answer is, no.  PayActiv is the last one to get paid, you get your deductions, the employee gets the money they need, and PayActiv gets a warm fuzzy feeling that they helped someone who needed it.  That doesn’t happen very often, but if it did, PayActiv eats the difference.

So, what’s the downside?  We have been using it for over 5 years now, and I can’t think of one.  It keeps your employees out of the predatory payday lender cycle every pay period, it gives them access to money that they have already earned, so it isn’t really a “loan”, it keeps you from having those uncomfortable conversations about payroll advances, and it makes your employees happy to work for a business who cares about them. Check Them out and get up to speed.