Protecting Businesses

08 Mar

 A payroll card is simply a prepaid debit card, much like a gift card. An employer deposits the salary of an individual employee on an employee's payroll card and then pays the employee by loading the card s balance with their wages. Like a debit or credit card, the card is usually never activated unless it is paid for. Instead, the payroll card is used just like any other credit card and doesn't require a checking account to back it up. A benefit of using payroll cards is that it is easy to track. An employee only needs to deposit the appropriate amount of money on their card every month, and this is often all they will need to pay their bills. This eliminates the need for an employee to carry around a big stack of cash. Also, most employers will reimburse the employee for any money that is not paid out because of an error on the pay slip. If an employee only has a payroll card and uses it properly, this can prove to be very beneficial in making sure the correct payments are made. However, using payroll cards has its limitations, as some employers will deduct the value of these cards from an employee's gross salary each pay period. It is important to make sure this amount is paid on time, so that the employees do not incur any additional late payment charges on top of what they have already paid out. It is also important for employees to understand that just because the payroll is deducted each pay period, they still do not get the full amount of their wages, especially if they are scheduled to receive overtime pay. Another common issue of employers using payroll cards from when an employee uses them to make purchases. Some thieves will try to steal an employee's wallet or purse, so it is vital for the owner to always have a payroll card in place, as well as a new one issued to the person on hand. Some thieves will target an employee that walks out with a new card loaded with purchases, but it is not uncommon for others to steal the information that is contained on the card itself. The thief who steals the information needs to be able to provide the Employer with the exact amount of money taken from the cash or purse. This is how stealing payroll cards is possible, even with security features on an account. In order to keep employees from trying to get cash from their wallets, or purses, it is recommended that most companies carry around two prepaid cards on hand. These cards will be honored by the Employer and will give the employee the option of getting cash via the Internet, or cash by credit card. By having the ability to get cash immediately without waiting for a check, employers can cut down on fraudulent activity on their accounts. Check out this page: In many African countries, theft of payroll cards is extremely high, which means that many employees are unable to make their monthly salary payments. In these cases, companies cannot afford to wait for checks from their employees. With a prepaid debit card tied to an account in the bank, payroll transactions can go through easily from the instant electronic pad. Without the possibility of an employee claiming that he did not receive payment for his work, companies know that there is no way this could occur. Instead, by immediately paying wages through debit cards, employers can reduce their risk of becoming involved with theft in Africa. To get details about this, follow the link.

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