Is On-Demand Pay A Good Idea?
“Research suggests that more than 60 percent of U.S. workers would like to be able to access their earnings before their regularly scheduled paydays. Responding to this desire, many employers now offer so-called on-demand pay arrangements that allow employees to receive their wages the same day they earn it. While this may be a valuable recruiting and retention tool for employers, the immediate availability of wages carries with it certain tax implications for employers that may not easily be avoided.”
Employers may want to consider configuring on-demand pay systems to make payroll deposits daily, though this might present administrative complexity. HCM Unlocked provides organizations with a managed payroll solution that can accommodate everything from completely outsourcing all payroll related tasks to providing single solutions like tax registration. If on-demand pay is a concern, or for whatever your team needs, HCM Unlocked can plug our experienced consultants into any payroll situation to free up your team’s internal resources and refocus your team’s efforts on the activities that impact your business.