Payroll debit cards are written about negatively from time to time in the press, but it doesn’t mean this relatively new device for delivering payroll should be done away with by companies using them issue wages to employees. Virtually every consumer transaction today to make purchases of goods and services can be done with a debit card. Cash still works, but you cannot use it very easily to purchase a plane ticket for example. Payroll debt cards have both pluses and minuses for employees and employers, but they are widely accepted and provide a huge advantage for a lot reasons. Paying wages through payroll debit cards can be issued by employers themselves or through a payroll processing company.
Advocates talk about how payroll debit cards to employers as a method to lower payroll expenses and improve company effectiveness. With delivery of payroll on a payroll debit card on payday each employee receives their pay via direct deposit on the card. This method makes it easy for companies to reconcile their payroll bank account. Getting rid of printing payroll checks and mailing or handing them out generates direct savings for companies with respect to costs, time and elimination of payroll checks never arriving or getting stolen. Payroll debits cards are a game changer for company payroll processing because they level the playing field for all employees when it comes to payday because everyone gets paid the same time with wages available to all immediately without the need accept a paper paycheck and then go to the bank or a check cashing place and cash it. Payroll debit card programs offered by payroll processing companies in some instances do have fees, making it unfair to employees receiving pay on a payroll debit card.
Payroll debit cards are part of the new era of doing everything electronically. When done right, they provide a convenient and a cost-effective way of delivering payroll and one that is mutually beneficial to both employers and their workforce. Investigate how much money your company can potentially save by implementing a payroll card program and learn how it can streamline your payroll processing.