On-Demand Pay: Earlier Access to Earned Wages
Most employees in the UK are paid monthly. But bills, unexpected costs and everyday expenses don’t wait for payday.
For employees without savings to fall back on, the gap between earning money and being able to access it can create real financial pressure, leading to overdraft fees, high-cost credit and the kind of low-level financial stress that follows people into work.
Even out financial bumps with salary on demand
On-demand pay, also known as earned wage access, gives employees the option to access a portion of the wages they’ve already earned before their scheduled payday. On-demand pay isn’t a loan or credit. Employees access pay they’ve already earned, so there’s no interest, no credit check and no effect on their credit score. Anything they access, plus the flat fee, is deducted from their normal payday pay.
For employers, it’s one of the most straightforward benefits available: simple to explain, quick to set up, and immediately valued by the employees who use it.
What is On-Demand Pay?
On-Demand Pay (ODP), allows employees to withdraw a portion of their earned wages during the pay period, rather than waiting until payday. The amount available is based on what the employee has already earned in the current pay period. Employers can set limits on how much earned pay can be accessed before payday.
The service is also referred to as earned wage access (EWA), flexible pay, or early wage access. These terms all describe the same thing: access to already-earned income.
It’s not a loan and it’s not a salary advance
This distinction matters because the employee is accessing earned pay, not borrowing against future income. Anything they access, plus the flat fee, is deducted automatically from their normal payday pay.
How employees access earned pay before payday
Employees access On-Demand Pay through the My Group Portal. They can see how much of their earned pay is available to withdraw, request an amount within the employer-set limits, and receive the funds directly to their bank account. Anything withdrawn is then deducted from their normal payday pay, with withdrawal and deduction history shown clearly in the app.
Employers can set limits on how much earned pay can be accessed before payday. Beyond that, the process is self-serve for employees and requires no day-to-day involvement from HR or payroll.
Employees pay a simple flat fee when they transfer earned pay early. There’s no interest, and the fee doesn’t change with the amount accessed.
How does On-Demand Pay help employees manage their money?
When employees are worried about making it to the end of the month, covering an unexpected bill, or avoiding an overdraft, that worry doesn’t stay at home. Financial stress is one of the most common causes of reduced concentration and disengagement at work.
On-Demand Pay gives employees occasional flexibility when an unexpected cost lands before payday, rather than forcing them to wait for a fixed pay date. Research from the Financial Conduct Authority found that around one in five UK adults uses an unarranged overdraft in any given year.
For those employees, earlier access to earned wages can be a practical alternative to overdraft or loan charges.
Access without a credit check
Because On-Demand Pay isn’t a credit product, it doesn’t require a credit check. Employees can access it on the same terms, regardless of their credit history. That can make it useful for people who may not be well served by credit-based options, or who want to avoid borrowing altogether.
Helpful when monthly pay creates pressure between paydays
Monthly pay is standard for many UK employees, but it can create pressure for people managing everyday costs week by week. For workforces where weekly pay was once more common, the gap between earning money and receiving it can feel especially difficult when an unexpected bill lands before payday. On-Demand Pay gives employees a way to access some of the pay they’ve already earned, without turning to overdrafts, loans or high-cost credit.
What does On-Demand Pay mean for employers?
On-Demand Pay is one of the more straightforward benefits for employers to introduce. It doesn’t affect the employer’s cashflow, requires no change to the payroll system, and deductions are reconciled automatically at the normal payday. For organisations operating in competitive hiring markets or with workforces that experience high turnover, it can be a useful part of the wider benefits offer.
What payroll teams need to know
On-Demand Pay doesn’t affect the employer’s cashflow, requires no change to the payroll system, and deductions are reconciled automatically at the normal payday. Employees make transfer requests through the platform, and payroll teams receive the information they need for normal payday reconciliation.
Part of a broader benefits offer
Employees may value On-Demand Pay because it gives them more choice when timing is the problem, such as a bill landing before payday or a repair that can’t wait. It can also support recruitment conversations where candidates are comparing the practical benefits available to them. For organisations with high turnover or difficulty filling shifts, it can sit alongside wider financial wellbeing support as part of a broader employee experience strategy.
Easy for employees to understand
Unlike some benefits that require lengthy explanation, On-Demand Pay is easy to understand. Employees grasp the concept quickly, which means the communication burden on HR is low. My Group provides the materials needed to launch and explain the benefit clearly.
Talk to us about On-Demand Pay
We can walk you through how On-Demand Pay works through the My Group Portal and My Staff Shop benefits platform, what setup involves, and what employees experience when they use it. It’s a simple benefit to introduce, but one that can make a meaningful difference when employees need financial breathing space.
Frequently Asked Questions
On-demand pay, also known as earned wage access, is a benefit that gives employees the option to access a portion of the wages they have already earned before their scheduled payday. On-demand pay isn’t a loan or credit. Employees access pay they’ve already earned, so there’s no interest, no credit check and no effect on their credit score. Anything they access, plus the flat fee, is deducted automatically from their normal payday pay, and employees can see their full withdrawal and deduction history in the app at any time.
Yes. On-demand pay and earned wage access (EWA) describe the same thing. Other terms you may encounter include flexible pay, early wage access and instant pay. They all refer to the same principle: employees accessing wages they have already earned before payday.
No. On-demand pay doesn’t affect the employer’s cashflow, requires no change to the payroll system, and deductions are reconciled automatically at the normal payday. Employees make transfer requests through the platform, and payroll teams receive the information they need for normal payday reconciliation.
On-demand pay is provided through our partner Level. Accounts and payment services are provided by Modulr FS Limited, an Electronic Money Institution authorised and regulated by the Financial Conduct Authority, and funds are safeguarded in line with the Electronic Money Regulations.
Yes. Because on-demand pay is not a credit product, there is no credit check and no eligibility criteria based on credit history. Employees can access it on the same terms, subject to employer-set access limits and the pay they’ve already earned.
The amount available depends on what the employee has already earned in the current pay period. Employers can set limits on how much earned pay can be accessed before payday. My Group can talk through the available setup options during implementation.
It works best as occasional flexibility rather than a routine way to manage money. On-demand pay helps when an unexpected cost lands at the wrong point in the month, such as a car repair or a bill that can’t wait. For ongoing money worries, support is available through financial education and guidance within the wider My Group offer.
Yes. On-demand pay can work for shift-based and variable-hours workforces, subject to how earned pay is calculated and reported. Please speak to My Group’s team for details on how the service handles variable hours and shift patterns in practice.
Employees access on-demand pay through the My Group Portal, with the service supported through the My Staff Shop benefits platform. They can see their available balance, make a withdrawal request, and receive funds directly to their bank account.
The process is self-serve and requires no involvement from HR or payroll on a day-to-day basis.