Know the Difference between EWA, Salary Advance and Loans
Are you torn between what options to use when you need emergency funds?
Here’s what to know about our financial services and how to access them.
EWA- EWA is an acronym for Earned wage access. It is calculated based on an employee’s daily earnings and an employee can access a certain percentage up to the limit as set by their system administrator. EWA is financed by Workpay and repayment is done once the monthly Payroll is processed and paid out. An employee cannot access funds above what they have accrued at the time of the month when they are making the request.
Salary Advance- Salary advance is another financial service that allows employees to access a certain percentage of their salary at any time of the month. Unlike EWA, it doesn’t accrue daily which means an employee can request for half their salary in advance even when they haven’t worked for half that month. Repayment is also done once the Payroll is processed and paid.
Loans- Loans are quite different from EWA and Salary Advance. For loans, employees can request sums above their salaries in different categories as created by their system administrator. The sum is then repaid over a period of time depending on the amortization schedule.