Salary streaming is a service that connects to the employer’s workforce management systems, tracking how much money staff have earned in real time.
What Salary Streaming is and how it works
Most people live payday to payday, earning their income through either monthly or fortnightly pay.
Now imagine a world where daily wages that belong to the worker, stream automatically into their wallets. Streaming pay brings this concept to life, with wages flowing into the worker’s wallet as they are earned.
Salary streaming is transforming the way staff are paid, by using technology that allows employees to track how much they’ve earned and access a percentage of it instantly, before their payday.
Benefits of Salary Streaming
Salary streaming can be a useful tool because it gives employees more control over their finances, accessing their money when they need it most. Salary streaming can help people who are struggling keep up with their bills and it reduces the likelihood of people using high interest credit like overdrafts, payday loans or credit cards.
When employees are being paid for every second of their work, it makes them feel like their time is truly being valued and this can improve not only your employee’s wellbeing, but their productivity too.
A benefit of salary streaming is that there’s no risk of miss payment as its fully automated, and employees can invest in real time by making use of their assets straight away instead of the end of the month.
How will we be paid in the future?
Globally, 70% of workers are paid monthly or every two weeks, EY research shows. A recent Harris Poll study found that workers, especially Millennials and Gen Xer’s, are done with that paradigm.
When we understand the fact that Gen Z is set to be the largest group of consumers by 2026, these numbers highlight that real-time access to earned wages will not only be a competitive differentiator for companies, but also a future requirement, if they want to attract and retain top talent.
Eight in 10 U.S. workers between the ages of 18-44 prefer to have their pay automatically streamed into their accounts as they are earned. More than eight in 10 workers responded that they’d take a job with an employer that provides access to earned wages on demand at no cost to them, over an employer that does not.
While on-demand pay got the industry to start asking questions, streaming pay will break the payday to payday cycle, giving financial freedom to millions.
