At Bonusly, there are two ways that you can set up payment for rewards: Post-pay and Pre-pay.
This is the default payment mode. When an employee receives a reward, Bonusly fulfills it and records a line item for the face value amount of that reward. At the end of the month (or when the total amount of rewards exceeds a threshold) Bonusly charges the total to the payment method on file. A 3% convenience fee is added to cover the risk Bonusly incurs by paying for your employees' rewards up front.
With pre-pay, Bonusly bills your payment method a certain amount, up front, and records the balance. As employees get rewards, Bonusly deducts the face value of the rewards from that balance. When the balance falls below a certain threshold, Bonusly charges the same fixed amount to your card and records the balance.
Frequently Asked Questions
Why should I switch to pre-pay?
Here are the advantages of pre-pay:
- No fees. There is a 3% convenience fee for companies on the post-pay method. This fee is waived for companies on pre-pay.
- The amount charged to your credit card is the same every time, so there will be no variable or hard-to-identify charges. Keeping your books reconciled will be easier.
- If your card expires or otherwise goes bad, you have time to update your payment information to ensure service is uninterrupted for your team.
Why is there a fee for post-pay?
With post-pay, Bonusly is buying the rewards for your employees and only charging your credit card at a later date. If your card goes bad or your company goes out of business, Bonusly has lost that cash. To cover the increased risk, Bonusly adds a 3% convenience fee.