These days a growing number of workers live paycheck to paycheck, leaving them vulnerable to unexpected expenses or shortfalls before payday. This has led to HR leaders facing a new problem: they must now employ a cost-effective solution that helps employees bridge their financial gaps without encouraging any further debt.

This is where Earned Wage Access (EWA) software come in. Essentially, these tools allow employees to access earned wages before the end of a regular payroll cycle. Today, we’re going to be comparing two of these types of software: Payactiv and DailyPay.

Payactiv markets itself as a “livelihood platform” offering on-demand pay, budgeting tools, savings, and wellness features, aiming to reduce turnover and foster financial stability. In a similar fashion, DailyPay positions itself as an “on-demand pay” provider, enabling employees to withdraw from their accrued pay whenever they need, with options for instant or next-day disbursement.

In this article, we’re going to compare Payactiv and DailyPay from an HR and employer viewpoint, examining their features, benefits, limitations, and ideal use cases. By the end, you’ll have a good idea about which platform best aligns with your organization’s goals and workforce needs.

Payactiv Vs DailyPay: At A Glance

Features

ServiceNow

Workday

On-Demand Pay

Allows employees to access a percentage of their wages

Enables employees to access 100% of their wages

Tips

Requires linking the Payactiv Visa® Payroll Card through the app to access the tips

Fully integrates tips into its On-Demand Pay platform

Integrations

Integrates with providers such as ADP, Paychex, and Kronos, etc.

Integrates with platforms like Paycor, Paylocity, Oracle, etc.

Security

Compliant across all 50 states and supports multiple authentication options for secure access

Utilizes encryption protocols, multi-factor authentication and regular security audits

What Is Payactiv?

Payactiv is a financial wellness and earned-wage access (EWA) platform. It’s designed to help employees access wages they’ve already earned before payday, helping them manage their finances and reduce reliance on predatory credit.

In addition to on-demand pay, it includes features such as budgeting tools, savings tools, discounts, and financial counseling—all integrated under one mobile app.

Currently used by over 1,500 companies, Payactiv markets itself as being beneficial both to employees (by offering financial flexibility and tools) and to employers (by reducing turnover, improving engagement, and offering a non-cost benefit).

Unique Payactiv Features

  • Financial Counseling And Coaching: Provides access to financial coaching or counseling services to help employees plan budgets, manage debt, and improve overall financial wellness
  • Bill Pay And Discounts: Payactiv’s app includes built-in bill pay, allowing users to pay recurring bills directly from their accessible earnings. It also offers a marketplace of discounts and partner deals.

Payactiv Pros And Cons

Pros:

  • Streamlines employee access to wages, reducing manual handling
  • Offers the ability to pay bills
  • The software is accepted by most carriers

Cons:

  • Virtual card cannot be used on Google Play, Cashapp or Pay Pal
  • Customer support can be improved

What Is DailyPay?

DailyPay is a leading on-demand pay solution that enables employees to access a portion of total of their wages earned before the scheduled payday. It allows employees to build an “available earnings” balance through their work and approved hours, which they can transfer to a bank account or debit card.

In addition, the software offers benefits such as the DailyPay reward—a real time cash reward that’s used to motivate employees. Other benefits include the DailyPay Visa Card, real-time access to tips, etc.

The platform also helps recruiters as it allows them to engage and retain employees by providing them with a sense of financial security. It also integrates with payroll software, HCM, and other benefit applications, meaning that it isn’t a hassle for employers to include in their payroll processes. Finally, it serves a wide variety of industries such as hospitals, restaurants, supermarkets, etc.

Unique DailyPay Features

  • International Transfers: Supports sending money to more than 60 countries via its transfer feature
  • Perks Marketplace: Provides curated discounts and offers aimed at helping users save on big recurring expenses

DailyPay Pros And Cons

Pros:

  • Setup is simple and easy
  • Showcases estimated pay after working shifts
  • Accurately tracks hours and wages

Cons:

  • Some users report that the app runs slower on Android compared to iOS
  • Doesn’t offer cash advances

Payactiv Vs DailyPay – Features Comparison

On-Demand Pay

Payactiv enables employees to access a portion of their earned wages daily, turning worked hours into accessible funds within its mobile app. Workers can move money to bank accounts, debit or payroll cards, load onto the Payactiv Visa® Card, or even pick up cash at Walmart. However, there is one small caveat: employees need to pay a small fee for instant transfers. In addition to that, ACH bank transfers take around 1–3 days.

Accessible earnings can also be used directly for expenses like bills, rideshares, or online purchases, providing flexibility in meeting immediate financial needs. On top of this, funds accessed early are automatically deducted from the employee’s paycheck on the regular payday, keeping reconciliation simple for employers.

Similarly, DailyPay offers employees the ability to access up to 100% of their earned wages at any time. Transfers can be made instantly for a small flat fee, with no-fee options for 1–3 business-day transfers or for instant disbursement to the DailyPay Visa® Prepaid Card.

Beyond wage access, the platform provides clarity into earnings and spending, planning tools for splitting deposits, and savings features to encourage better financial habits. It also provides additional capabilities, such as international transfers to over 60 countries and credit health monitoring, making it a great choice for diverse workforces.

Winner: DailyPay wins this round as it allows employees to access 100% of their earned wages whereas Payactiv allows access to only a percentage of your net earnings.

Tips

Payactiv provides a simple and cost-free way for employees to access their tips immediately after each shift. All it requires is linking the Payactiv Visa® Payroll Card through the app. Once this is done, workers can automatically receive their earned tips without waiting, dealing with cash, or worrying about calculation errors.

This approach ensures faster, more reliable access to earnings with minimal setup. It also helps with employee retention since employees feel more at ease knowing that all their tips are being stored electronically and can be accessed at any time.

Meanwhile, DailyPay takes a more extensive approach to digital tips by fully integrating them into its On-Demand Pay platform. This way, employers can eliminate the costs and risks associated with handling cash and manual reconciliations, while employees gain flexibility in how they receive their tips.

Employees can choose between free 1–3 business-day transfers, instant transfers for a small fee, or no-fee instant access with the DailyPay Visa® Prepaid Card. They can also manage, track, and save their regular pay and tips in a single app, creating a streamlined financial experience.

Winner: While they’re very close, DailyPay edges out Payactiv here since it integrates tips onto its platform.

Integrations

Payactiv integrates with leading HCM, payroll, and time-and-attendance providers such as ADP, Paychex, and Kronos, along with more than 70 other systems. This broad compatibility allows organizations of all sizes and industries to adopt Payactiv without disrupting existing workflows.

Additionally, it has also partnered with industry leaders to provide financial wellness for employer organizations.

Conversely, DailyPay takes a broader approach with over 180 pre-built integrations across payroll, HCM software, and time management systems, ensuring flexibility for businesses with varying levels of complexity. These integrations range from homegrown to widely used products and include apps like ADP, Paycor, Paylocity, Oracle, etc.

With these integrations, DailyPay ensures that all payments are made in a timely fashion for all their employees.

Winner: DailyPay offers more integrations than Payactiv, making it the winner again.

Security

Payactiv emphasizes compliance and reliability with security certifications including ISO 27001, SOC 1 Type II, and SOC 2 Type II, covering industry-standard data protection and operational safeguards. The platform is also compliant across all 50 states and supports multiple authentication options for secure access.

With quick API integration that can be deployed in about 48 hours with no change in cashflow, Payactiv assures employers that data safety does not come at the cost of efficiency. Its status as a certified B Corp and Public Benefit Corporation further highlight the platform’s transparency, accountability, and balancing of business goals with employee well-being.

On the other hand, DailyPay embeds security as a core principle. It applies comprehensive encryption protocols to protect all sensitive data both in transit and at rest, coupled with multi-factor authentication and stringent password policies. It also undergoes regular security audits and assessments to ensure ongoing compliance and continuous improvement.

In addition, it also holds security certifications such as ISO 27001 and SOC 2 Type 2. With these measures, DailyPay assures employers and employees alike that all their financial transactions and personal information are protected.

Winner: Both software are tied for this category since both provide ample security measures.

Pricing

Payactiv offers custom pricing that depends on the number of users and the features required. For employees, the platform charges different amounts depending on whether the transfer is to a Payactiv VISA card or not. If a user is transferring to a Payactiv VISA card without a direct deposit of at least $200/per pay period, the platform charges $2.49. Otherwise, it doesn’t charge anything. For transfers to Non-Payactiv debit cards, Walmart Cash pickups or other transfers, it charges $3.49.

Disclaimer: The pricing is subject to change.

DailyPay’s pricing structure depends on the specific requirements of your organization. For employees, the platform only charges a flat fee of $3.49 to access their earnings instantly.

Disclaimer: The pricing is subject to change.

Which One To Choose – Payactiv Or DailyPay?

When it comes to providing earned wage access and financial wellness, DailyPay positions itself as a comprehensive platform. With features such as full access to earned pay, digital tips, savings tools, credit health monitoring, and even international transfers, it caters well to organizations seeking a broad suite of employee financial solutions.

However, while DailyPay may be the stronger fit for companies with large, diverse workforces, Payactiv remains a compelling choice for businesses looking for a simpler, flexible, and cost-effective solution. Its fast implementation and everyday practical features like Walmart’s Direct2Cash access makes it a great choice for employers who want to enhance retention and employees who want more ease in financial matters.

In either case, the decision between Payactiv and DailyPay should come down to your organization’s specific goals. If your priority is advanced employee empowerment and financial tools, DailyPay may be the better fit. If you’re focused on accessibility and ease of use, Payactiv offers an effective and trusted solution.