Let’s talk about the velocity of money. The timing of pay has not been considered since before the industrial revolution, and this oversight is creating profound and unnecessary suffering amongst both employees and employers. The most obvious example of speeding up the dispersal of paychecks – unlocking money that workers have to wait for – that example is the predatory practices of payday lenders. But, there’s a better way to borrow against an upcoming paycheck. Last year, startup PayActiv (a Silicon Valley company that offers employer-sponsored financial wellness) saved workers an astounding $120M by giving them access to money they had earned but had not yet been paid. Safwan Shah is a former NASA scientist and now an entrepreneur/founder/CEO of PayActiv. During our discussion, we even dip into the income inequality and automation.
Links:
https://accounts.payactiv.com/prelogin/home
https://www.npr.org/2018/08/16/639236531/walmart-and-others-offer-workers-payday-loan-alternative