Gusto turns payday into any day with Flexible Pay
Payroll, benefits, and HR technology firm Gusto has unveiled a new solution called Flexible Pay that will enable workers in the US to get paid outside of their employer’s standard payroll schedule, reports David Penn at Finovate.
“The two-week pay schedule should no longer exist in today’s world.” Gusto co-founder and CEO Joshua Reeves says. “It’s a relic of calculating payroll taxes manually and was instituted in the US almost 90 years ago. With modern technology, employees shouldn’t have to wait weeks to get paid.”
Eligible employers partnered with Gusto can begin offering Flexible Pay through the Gusto platform.
The platform calculates, makes payments, and files all relevant taxes automatically, enabling eligible employers to use the solution without having to change either their current payroll schedules or debit frequency.
Gusto says it can help workers manage unexpected expenses without resorting to debt or payday lenders.
Workers can set up direct deposit of earned wages via their Gusto account, and select their payday preference – even if it’s the next day.
Currently available in Texas, Flexible Pay is expected to be available in other states over the course of 2018.
Just a few weeks ago, Gusto introduced its own “Yelp for Accountants” partner directory to help SMEs find and hire accounting talent that specialises in the needs of small businesses.
Founded in 2011, Gusto serves more than 60,000 businesses in the US and more than 1% of all US employers. The company has raised more than $176 million in funding and includes CapitalG; General Catalyst; Kleiner Perkins, Caufield & Byers; Emergence Capital Partners; and GV among its investors.