When it comes to small business, you are constantly searching for ways to cut your bottom line and still be profitable. One way that you can do this is by using debit cards instead of paper checks. This is a payroll solution that is ideal for using debit cards.
No matter if you have 10 employees or 300 employees, the associated cost reduction for payroll services will be immediate. By the use of a debit card, you will drastically cut banking cost as well as wire transfers and this will make an immediate difference in your bottom line.
Using a prepaid credit card for payroll solutions is an idea that is fast catching on. The associated costs for using and purchasing a debit card for payroll are around 30.00 for initial purchase and a charge of 5.00 each time the card is loaded.
This can mean a savings of 10,000 per month for a company of ten employees and over 34,000 for a company of 300 employees. These figures are examples only. The costs of a debit card verses paper check and wire transfer stack the deck in the prepaid credit card’s favor.
For example, you have a company of 10 employees that need to be paid. A debit card that has a prepaid amount on it can save the company thousands of dollars on payroll expenses. To send money is more cost effective when you use a prepaid credit card.
Let’s take a look at the fees of a debit card versus a wire transfer via Western Union for example. A 100.00 transfer will charge you at least 30.00 to complete, where a debit card reloads is only 5.00. So you have saved over 25.00 for just one employee! Imagine the savings you will get with 10 or 300!
Now let’s look at a company of over 300 employees. A debit card will allow the employer to put money on a prepaid credit card. Which will, in turn reduce banking fees, transaction fees and payroll fees. The average savings per month would be upwards of 34,000 or more in associated fees.
This is also a very convenient form of payment for employees. A prepaid card is accepted most anywhere that major credit cards are accepted and they do not have to have a bank account to use a debit card. There is no banking fees associated with this debit card.
Tags: business, co-branded prepaid cards, cobranded debit cards, Credit cards, debit cards, payroll, payroll services, payroll solutions