Payroll cards are part of the emerging mobile payments capabilities that are shifting the nature of financial transactions.

The payroll card user experience is almost completely electronic, reducing the need for paper checks and cash. On mobile devices, payroll card users often utilize apps to track their balances.

This is just the tip of the iceberg for mobile payments, considering the youngest generation in the workforce today only knows a world of electronic processes and communication.

As an employer it can be difficult to provide a comprehensive payroll solution that is both convenient for employees and cost-effective for the employer. A growing trend that is filling a gap for many payroll programs while simultaneously offering employees new ways to receive their wages is the payroll card.

Over the last few years, payroll cards have taken businesses across the country by storm, allowing employees to receive weekly or monthly wages on a payroll card, similar to a debit card.

With payroll cards, employees are able to access their wages any time and don’t have the burden of making traditional bank transactions. Furthermore, employees can manage their personal finances by having the ability to make purchases (online and offline) and access cash at an ATM with their cards. This form of payment continues to gain more traction with employers and employees.

The overall use of new technologies in payroll card programs is creating wage payment solutions that enable employers to offer their employees a payment option with ease of use and flexibility.

Gary Lott is division vice president and general manager for unemployment, payment, and garnishment services for ADP LLC.