Since Worklyfe employs a "just-in-time" approach to funding employee rewards, each payment to employees is a separate transaction that must go through the standard money movement protocols. This usually takes around 3-5 business days to complete.
However, companies have the option to maintain a reserve balance with Worklyfe. The initial reserve transfer goes through the normal clearing period, but rewards subsequently issued from the reserve account are transferred instantly in most cases.
Why enable instant payemnts?
It's somewhat underwhelming to get a birthday gift several days after your birthday, or to get paid late for doing a great job. The emotional connection and feeling of appreciation are much greater with instant payments.
Instant payments enable the immediate disbursement of funds, even on weekends and holidays. Standard payments can take up to a week if the clearing period spans days when financial institutions are closed.
Add reserves to enable instant payments
By adding reserves to your company's wallet, you will enable payments to be drawn directly from the wallet, effectively enabling instant payments.
1. Navigate to the company's reserve account
To get to the reserve account, navigate to the company settings from the bottom-left of the screen. Then click "Funding sources" to open the funding sources pane, and click on the "Reserve" line item.
This opens up the reserve page:
2. Set the reserve amount
Click the edit button to open up the form where you can set the reserve amount:
From here, you can use the form to set the reserve amount, as well as the source of funds from which the initial reserve funds will be transferred.
Note: The source of funds only dictates the source of the initial reserve transfer. Subsequent "replenishment" transfers will originate from the funding source specified for the given program.
For example, if a reward was issued from the "Sales Master" bank account, the funds will be instantly transferred from the company's reserve account to the employee's wallet. In connection with that reward, a transfer from the "Sales Master" bank account will be immediately initiated to replenish the reserve funds.
After clicking the "Save" button, the transfer to the reserve account will be initiated. This transaction usually takes 3-5 business days to complete.
What is the reserve account?
What is the reserve account?
The funds in your reserve account act somewhat like a revolving line of credit. When an instant payment is made to an employee, the funds are drawn from the reserve account, which temporarily reduces the reserve amount. In connection with the instant payment, a corresponding transfer is initiated from a linked funding source to "replenish" the reserve funds.
These replenishment transfers go through the normal 3-5 business day clearing period. But if the reserve account is adequately funded, there will rarely be any disruptions to the instant payments flow.
What happens if there's not enough reserves to fund a reward?
What happens if there's not enough reserves to fund a reward?
If the current balance is less than the target, it simply means that an instant payment was recently disbursed from the account, and a transfer to replenish the account is pending.
How much should you allocate to reserves?
How much should you allocate to reserves?
We recommend that companies set aside a reserve amount roughly equal to (or slightly above) the average estimated monthly distributions. So if you estimate that the company will disburse an average of $2,000 a month through the various Worklyfe programs, a good practice would be to deposit $2,000 into the reserve account.