Reimagine how you get paid with Earned Wage Access.
Get on-demand access to a portion of your earned wages and reduce your reliance on high-cost credit and payday loans.
Surprised by a big bill before payday? Need to replace a flat tire on the way to work? Or has a beloved pet suddenly become ill? In the past, you had to rely on high-interest credit cards, buy now, pay later (BNPL) providers, and payday lenders to find the funds you needed – or you’d live of rice and beans until the next paycheck. No more.
Enter Earned Wage Access:¹ an Earned Wage Access (EWA) product that revolutionizes the way you get paid. Earned Wages Access gives you on-demand access to a portion of your paycheck before payday, so you can avoid payday loans and budget based on your life, not your pay cycles.
What is access to earned wages?
Earned Wage Access is an Earned Wage Access product that allows users to quickly access their earned wages before payday. You can request up to 50% of your earned wages, up to $1,000 per week, with a processing fee of 1.3% when withdrawing from a spending account and 1.5% for withdrawals to any other bank account. Because it’s money you’ve already earned, there’s no interest, credit, or late fees.
Earned Wage Access was created by the team behind Employment Hero to help employees access their earned wages on demand. By using Earned Wage Access, you have an alternative to credit cards, BNPL and payday loans, which all land people in debt.
You can use Earned Wage Access to manage bills between monthly pay cycles, handle emergencies (like taking your sick cat to the vet), and budget for events like Christmas and birthdays. You can even use Earned Wage Access to invest in stocks or save more to reach a particular goal.
What is Earned Wage Access (EWA)?
Earned Wages Access is a credit-free option allowing employees to access wages they have already earned on demand. Rather than being paid according to rigid pay cycles, employees can request their pay as soon as they earn it, whenever they need it.
The concept of employers offering access to earned wages as a fringe benefit is still new in Australia, but it has taken off in America. Big players in the US market like McDonalds, Walmart, Uber and PayPal offer salary benefits to their employees. In fact, 80% of Fortune 200 companies now offer access to earned wages.
The difference between Earned Wage Access and Early Wage Access is significant, even though the names sound similar.
Access to earned salary:A no-credit feature that allows an employee to instantly access the wages they have already earned, thereby reducing their debts and without affecting their credit score.
Early access to salary:A personal loan/credit that an employee can access before completing their job, which is then collected by direct debit.
How does it work?
If your employer uses Employment Hero HR and Payroll, you have access to Earned Wage Access.
To request an earned salary access amount, download the Work app and click on the “Money” tab, then “Income”.
Here you will see a real-time calculation of the amount of funds you have available. These available funds are calculated at 50% of your salary earned to date and capped at a maximum of $1,000 per week.
Next, enter the earned wage access amount you want to access. The fee per Earned Wage Access transaction is $3 when made to a Spend account and $4 when made to an external bank account.
Why we implemented Earned Wage Access
We implemented Earned Wage Access because payroll needs to be fit for the modern era.
People have gotten into the habit of waiting weeks to get paid for the work they did that day. So when an emergency or surprise bill comes their way, they turn to credit, BNPL and loans to close the pay gap, even though the technology exists to pay people in real time.
The old disappears and comes… access to earned wages.
Access to earned wages started with a simple question: Why shouldn’t you get paid at the end of your shift for the work you did that day?
The world is changing faster and becoming more streamlined, and it’s time for wages to catch up.
We live in a world of instant access to everything we love: pizza, movies and music. So why can’t people broadcast their salaries as quickly as they can broadcast a podcast?
Historically we were paid weekly, fortnightly or monthly due to administrative issues such as paper processes, payroll taxes, compliance and regulations, bank management and liaising with accountants.
Today, payroll no longer requires a tedious process. With advances in digital technology, Earned Wage Access allows employees to get paid in real time, as soon as they earn it.
How do people use access to earned wages?
In January 2023, the team conducted a “Access to earned wages saves the situation” survey in which we spoke to Earned Wage Access users and asked them how the feature helped them manage their finances. We received 118 responses and were amazed by the results.
Suzanne uses Earned Wage Access to put food on the table before payday
I’m a single mother who works full-time to support my daughter, but sometimes between paychecks I can’t do it.
The last time I needed access to pay, I was running out of basic food at home and didn’t have enough money to pay for the day.
I was fortunate to have access to Earned Wage Access, which helped me with a grocery store, allowing me to prepare dinners for the following nights.
—Suzanne, Western Australian Stock Controller
Nelson uses Earned Wage Access to grow his investment portfolio
This makes life easier, especially if you’re behind on the month. With inflation and everything going on, it has helped me with my portfolio to invest in some short term positions.
—Nelson, New South Wales Trade Advisor
Stephen uses Earned Wage Access to better manage his bills and budget
We are building a house and right now we are receiving bills every day.
Access to Earned Wages helps me by allowing me to take a small portion of my paycheck early to help offset the bills.
And there’s also a limited amount I can withdraw each week, so I don’t get a payday shock.
This is a great idea, all businesses should use Earned Wage Access.
—Stephen, Queensland goalkeeper
How do users rate access to earned wages?
In the Access to earned wages saves the day survey, we also asked participants about their experience using Earned Wage Access. The results were overwhelmingly positive, with 98% of respondents saying they would definitely use Earned Wage Access again.
Results from the January 2023 Earned Wage Access Saves the Day research report.
- 93% would recommend access to earned wages
- 98% would definitely use Earned Wage Access again
- 89% of users rated access to earned wages as excellent
- 57% used Earned Wage Access in an emergency
- 36% used Earned Wage Access to manage their bills
Access to earned wages is a revolutionary solution to the problem of rigid pay cycles. By adopting a modern way to get paid, you can handle emergencies, pay your bills with ease, and even support your savings and investing goals.
To learn more about how Earned Wage Access can help you better budget and manage your finances between paydays, read our