A company’s workforce accounts for around 70 percent of its operating costs, according to business industry analysts. Companies spend a significant amount of those costs on employee compensation and payroll technologies.
But with technological innovations like custom prepaid cards, businesses are turning to new solutions to manage employee payroll, commissions, incentives, and even travel payments and reimbursements. These custom prepaid debit cards allow companies to control expenditures and streamline accounting measures with features that include increased security and convenience for both the business and their employees.
Consider the paperwork generated through traditional payroll methods, travel reimbursements, or employee commissions, and the cost of not only the checks, but the amount of time your staff devotes to those tasks. Figure in the cost of the equipment and software required to maintain accounting records and bank account transactions. Virtual prepaid cards can be used to pay your employees as well as your suppliers, and can be tracked by administrators through a customized online portal, at a fraction of the cost of traditional compensation and payment methods.
Most online prepaid card companies offer an easy setup process, and verification processes can be completed within 72 hours. After setup, you can immediately start loading payments to the cards and issuing them to your employees.
Employees can monitor their funds through a mobile app, and they have immediate access to those funds. There are no fees associated with retail transactions, and the card offers cash access through ATMs around the world. No bank account is needed.
Some companies, such as MyChoice Preferred, offer different product options that allow you to customize your virtual prepaid card program with features such as adding your business logo to cards and your website portal. Create your own unique card design, and choose from options like customized interactive voice response access, or branded email and text alerts.
Prepaid cards allow greater control over employee expenditures by allowing pre-set amounts to be allocated to the cards. There is also an option to add funds to the card as needed, with immediate availability to the payee.
In a matter of minutes, funds can be transferred to any card, in any location around the world, any time, day or night. Save on time-consuming and expensive bank processes, and cut back on operational expenses that affect your company’s bottom line.
Direct deposit of employee payroll funds has been around for years. Although this is an improved method of compensation over traditional paycheck practices, companies search for innovative and less costly methods for compensating their workforce. And, according to an FDIC survey, workers are dissatisfied with the rising cost of bank fees and seek other options to avoid them.
Here are some of the reasons why employees like the option of prepaid cards instead of direct deposit or traditional paychecks:
Whether your company is seeking a way to improve accounting methods, cut back on the costs associated with employee payroll and compensation, or streamline supplier or business-to-business payments, online prepaid debit cards are a secure and viable solution, whether you are a small local business or a large corporation. Let WaveCrest assist you with a customized MyChoice Preferred plan that fits your needs.