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Payroll Deduct Policies for Cafeterias and Cafes

    Home Payroll Deductions Payroll Deduct Policies for Cafeterias and Cafes
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    Payroll Deduct Policies for Cafeterias and Cafes

    By ARBA | Payroll Deductions, POS Payroll Deduction | 0 comment | 9 March, 2014 | 0

    Payroll deduct is a popular cashless payment method that gives convenience to employees. This program suits busy healthcare employees with limits on break time and who do not have access to their wallets or purses. The ability to scan ID badges to complete meal purchases is a convenient benefit. Payroll deduct is all about saving time, and moving employees through checkouts faster which will allow less time in line.

    Payroll Deduct for Foodservice Operations

     

    So how does your company or health care facility protect itself from employees who may leave the company or facility with an outstanding payroll deduction balance? The most common method is to set a payroll deduction limit, which is similar to a revolving credit account. The difference is that deductions take from future paychecks, rather than making payments on a billing cycle. This limit finalizes by weighing a reasonable amount for an employee to spend per pay period combined with how much the company or hospital could afford to lose if an employee leaves and the remaining balance is not deducted before the final paycheck is issued.

    Cafés and coffee bars will often arrive at the spending limit by estimating the maximum realistic amount of food and beverage purchases an employee could potentially make during the pay period. Other facilities operate their café or coffee bars purely as a benefit and convenience to their employees with a goal of breaking even on costs and therefore elect not to enforce a limit. They find that the goodwill and benefit the café provides their employees is of primary importance and far outweigh any potential risk.

    Payroll Deduct Badges

    More Payroll Deduct Information

     

    Finally, some human resource departments require their employees to complete an enrollment form to sign up for the program, with language specifying responsibility for any outstanding payroll deduction balances should employment end. Usually, this serves to discourage employees from running up a high balance that their final paycheck cannot cover. Signature lines on register receipts for payroll deduction transactions also help enforce payment, however, keep in mind that this will add time to the transaction.

    Has your company or hospital implemented a Payroll Deduction POS Program? If so, please share your experience with the program.

    Author:  Kathy de la Torre

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