4 Common Financial Situations Where EWA Saves the Day
As EWA becomes more popular for employers to offer their teams, part of the allure is the ability to cover unexpected financial challenges in the days between a worked shift and payday. Depending on the company and its pay scale, this time difference can amount to a few weeks, which can feel like an eternity for employees waiting to cover bills or may unanticipated payments.
A 2019 Visa report found that almost half of employees have less than $500 saved for unexpected expenses, and in lower income brackets, the percentage jumps to 70%. In day-to-day life, this means that many employees don’t have a safety net to cover emergencies or unexpected spending between paychecks.
With that in mind, let’s take a closer look at four relatively common scenarios where EWA saves the day for employees. First up: medical charges.
- Emergency medical or vet charge.
Here in the United States, getting sick or even scheduling preventative medicine appointments can amount to hundreds of dollars in medical bills. Many types of appointments also require co-pays to be completed before leaving the doctor’s office. The same goes for vet bills and pet care, which can be similarly expensive.
In the event that an employee hasn’t allocated any of their last paycheck to vet or medical care, EWA can bridge the gap between the necessary medical expense and the employee’s upcoming paycheck.
- Unanticipated home repairs.
Another common area for unexpected spending is home repairs. Since these expenses are irregular and relatively unpredictable, employees may not have budgeted for situations like new tires, appliance repairs, and other home and car issues.
This category of expense is usually urgent, and especially in the home care industry, employees are likely to need their cars up and running ASAP to get to work. EWA offers the advance funds that can cover these urgent repairs before payday.
- Car and transit costs.
Since the home care industry relies on your employees traveling to their patients, Keeper is a helpful resource to cover car and transit costs before payday. If employees need to reload their bus or Metro cards between paychecks, Keeper is the perfect solution.
For those that travel by car, Keeper funds can empower regular car maintenance, unexpected repair costs, and cover higher-than-average gas prices. The end result? Your employees don’t have to worry about how they’ll get to work, knowing that they have a financial buffer if they need it.
- Uncommon events
For a more positive example of EWA support, consider employees who need to attend a wedding, baby shower, birthday party, or other event where gifts are expected and nicer attire may be required.
These events sometimes put a strain on budgets thanks to their irregularity, but missing an important milestone for a loved one doesn’t always feel like the solution. In these cases, Keeper can allow wage access to cover the costs until payday.
Finally, don’t forget that EWA isn’t just about covering emergency expenses. There’s something to be said for giving the employee more control over their earnings and making funds accessible anytime. Offering instant gratification of wages is beneficial beyond just dire financial circumstances, and EWA delivers for these situations, too.
Ultimately, there’s a reason that 95% of employees would be interested in working for an employer who provides EWA. It’s only a matter of time before your employees start to expect an EWA solution as part of their benefits package—and in many industries, this shift has already taken place.
To learn more and explore EWA for your organization, visit the Keeper website here.