Payroll Savings Accounts

Moneywise works with local employers to provide access to fair and affordable finance through your payroll. 

What is payroll saving?

With payroll savings from Moneywise, saving has never been easier. We’ll make a regular deduction from your monthly salary, and deposit it into a dedicated payroll savings account. By deducting straight from your salary each month, you won’t even notice it.

We partner with local employers to deliver our payroll saving service, which can be beneficial for both employers and employees.

Need to change your payroll deduction – click here to contact us.

Our Payroll Partners

Why is financial wellbeing important in the workplace?

If you’re an employer, it’s important to promote financial wellbeing to members of your team. By promoting responsible financial management, you’re acting as a considerate employer.

If you’re aware that members of your team are having money troubles, it’s important to be discreet, should you choose to address them. Payroll savings can be a great way to help build long-term savings, and the security provided by these savings can help your team relax and do their job to the best of their ability.

Payroll savings can be great for staff recruitment and retention, too – surveys show that new hires are more likely to stay at a company if they are signed up to payroll savings schemes.

How can payroll savings help build employee wellbeing?

Nobody likes to be in financial trouble. With inflation and the cost-of-living crisis, an increasing number of people are living paycheck-to-paycheck. By participating in a payroll savings scheme, employees can gradually increase their financial security month-by-month, without worrying about depositing lump sums into their bank account.

80% of UK workers have reported a drop in productivity due to worrying about their money – by alleviating this worry, you can expect a happier workplace and increased productivity.

How does payroll savings work?

When a business signs up for payroll savings, the opportunity to participate in the scheme will be opened to all eligible employees. If an employee wishes to participate, they will identify an agreed-upon amount to be deducted from their monthly salary.

This amount can be as much or as little as the individual likes, and will be directly deposited into a dedicated savings account at Moneywise.

Benefits of a payroll savings scheme

A payroll savings scheme has plenty of advantages for both employers and employees. Benefits for employers include:

  • Creating links with a local credit union
  • Positioning the service as an employee benefit.
  • Helping employees to save can reduce stress and sickness levels caused by debt.
  • It may help to reduce requests for pay advances.
  • Knowledge that the credit union is a mutual and ethical financial services organisation.
  • As the credit union is local, you’re helping to retain and circulate money in the local economy.
  • There are no charges made to the employer by the credit union.
  • Employees also have access to the low cost loans provided by the credit union – this helps employees avoid high-cost payday loans and money shops, reducing the risk of debt.

Benefits to employees include:

  • It’s an easy way to save.
  • It’s often easier for employees to put some money aside before receiving their pay.
  • Employees can save as much as they want.
  • Savings can be withdrawn at any time as long as they are not secured as part of any loan agreement.
  • Employees will have special access to low-cost credit union loans

Things to consider before signing up to payroll savings

  • If you’re an employer, consider your employees’ perspective first – there’s no point signing up if there’s no employee uptake.
  • Payroll savings should NOT be considered as an alternative to a workplace pension(s).
  • Are employees on top of existing debt? If the debt interest rate is higher than that of savings, it would be better to pay off debt first.

More resources:

Payroll savings makes employees more likely to save of their own accord.

How your employer can help you save for a rainy day

Automating short-term payroll savings – Harvard Business School

Apply Online

Open your Payroll Savings account today.