Swag spend account and InstaPay information for employers and managers via Money

Questions

Answers

  How will payroll know that an employee has applied for InstaPay Now or InstaPay Daily?  

We automatically highlight and apply any InstaPay repayment transactions to your ‌payroll ABA file. Making it easy to make sure your employees are paid their net balance after the InstaPay fee, and advanced InstaPay request deduction amount. (Maximum possible deduction total $254). All you have to do is not edit the automated balances. The employee's payslip will automatically reflect the InstaPay deduction amount and InstaPay fee as a deduction. Employment Hero is working to improve the notifications to Payroll Admins in advance so you know how many of your team have used InstaPay.

  Is the Swag Spend account replacing bank cards/bank accounts? My employees are asking if they still have access to their bank accounts (e.g. CommBank, NAB, ANZ etc.)  

The Swag Spend account is completely optional. It does not replace any existing employee bank accounts and can easily be used alongside them to make sure employees get easy and fast access to the best benefits and discounts within the in-app and in-store.

  Once my employees have ordered the Swag Spend account Visa Debit card, do we have to start paying salary in the Swag Spend account only?  

The Swag Spend account is completely optional. It does not replace any existing employee bank accounts and they can easily use it alongside them to make sure employees get easy and fast access to the best benefits and discounts in-app and in-store. If your employee wishes to stream their salary between their Swag Spend account and an existing bank account, direction your employee to this article for instructions.

  Why are employees asked to set up a Swag Spend Account? We wish to switch this feature off.   

The Swag Spend account is the foundation of Employment Hero’s improved employee value proposition (EVP). Swag makes it easier, faster, and cheaper to offer Benefits and rewards to your employees both in-store and online. Swag Spend account is entirely optional for your employees. lt unlocks a world of new benefits that Swag is working hard to continually improve the range, accessibility, and value of, for all employees.

  I do not want my employees using InstaPay. Can I switch it off?  

InstaPay offers a bridge across the payday gap. It does this by providing employees access to their money now so they do not have to rely on expensive short-term credit traps like Buy-Now-Pay-Later, credit cards, or other short-term loans.

Swag funds the InstaPay Now and InstaPay Daily requested salary amount in advance to your employees. Your finance team does not have to fund any of the advance payments, and you do not have to change or alter your payroll or finance processes. With no credit, no interest, no ongoing fees, and automatic repayment, InstaPay means employees are at no risk of entering a predatory, compounding, unserviceable debt cycle.

Research shows that employees will use these funds to manage bills and emergencies. We conducted research with 503 employees that represented a cross-section of the Australian demographic (95% confidence, 5% margin of error) on how they would use a product like InstaPay. Research also shows employees would use InstaPay responsibly:

  • Managing bills (44%).
  • Emergencies (44%).
  • Unplanned expenses (35%).
  • Investing (13%).
  • Improve budgeting (11%).
  • Avoid credit/loans/interest charges (9%).
  • Minimise use of BNPL (7%).
  • Reducing their mortgages via an offset account (3%).
  • All the above (2%).
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  •  " I do not want my employees using InstaPay. Can I switch it off? "

    Re: the FAQ above, the information does not really answer the question.

    In addition, it is unclear who carries the risk, even if it is only small, in the situation of there being insufficient funds to be paid from an employees final pay. Does Swag chase the employee or is the Employer wear the cost?

    1
  • Hi James Agnew

    Thanks for reaching out. 

    I have created a support ticket for you, as the support team are positioned to be able to assist with product help and can turn off this feature for you. The ticket number is Request # 1064803 and you'll receive an email confirming that the support team have received your enquiry. Thanks!

    0
  • Good morning, have you guys stopped doing instapay? I can't see any icon/link etc.
    Regards
    Troy Duthie

    0
  • Hi Troy Duthie, thank you for your comment and apologies for the delayed response. Yes, InstaPay is still available on the Swag App. You can learn more about it in our article: Getting Started: What is InstaPay via Money? Thank you!

    0

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