Cash is the “OG” of instant payments, and it’s still the greatest visualization of what real-time actually means. When you hand your employee a dollar bill, there’s no waiting, no holds, no delays: it immediately becomes theirs. However, cash is no longer king as digital payments boom. When the vast majority of your patrons pay their bill with a credit card or debit card, this can create unexpected challenges for business owners.
As many transactions today are conducted digitally, business owners may not have the right cash on hand to make the necessary tip payments to their employees. This can lead to multiple trips to the bank or ATM, frustrated employees, and unnecessary extra steps in the work process.
Forbes writes about the recent “boom” in digital payments and said "Asia is heading towards a near-cashless society, that paper money and coins will account for no more than 1.6% of transactions by 2024.” The US is not far behind with over 30% cash payments in 2018 and by 2020 had dropped down to only 19%.
If your customers are tipping with plastic, why are you tipping out your staff with cash?
At Evident we offer businesses a way to issue debit cards to employees for their tips, payouts and reimbursements. Each day, the amount that's owed to the employee can be transferred instantly for free. Employees are able to access their money by either paying for transactions with the debit card, or withdrawing cash from an ATM. For business owners, you can now payout employees with the click of a button and there's no need to have cash on hand.
Employers can push funds to their employees’ accounts instantly—even day one on the job. Instant payments are “low-hanging fruit” when it comes to taking care of your employees in a way that benefits them and your business. Simplifying your tip outs at the end of the night means improved operations and reduced labor costs. At the same time reducing the risk of employee theft and human accounting errors.
For more information or to order a stack of employees debit card, contact us today.