FAQ: HR and Payroll Administrators
1. How much work is there for the HR or Payroll administrators?
Minimal. As the administrator, you simply need to verify employment information for applicants (once) and notify HoneyBee of any termination.
2. What about regular repayments? Do I need to get involved?
No. HoneyBee will manage all regular repayments via automatic bank account deductions.
3. One of my employees was just terminated. Now what?
As a task on your termination checklist, you can simply
4. What happens after I report the termination?
Only for employees with an outstanding balance, you will instantly receive a deduction statement. The deduction statement will provide instructions for the deduction remittance to HoneyBee.
CLICK HERE to see an example
5. How often will a termination deduction occur?
Very rare. From our experience, it’s approximately 1 in every 100 requests.
6. What are the California laws around deduction on paid time off payout at termination?
California courts and the labor commissioner have ruled that an employer may not deduct the full unpaid balance of a debt to the employer from an employee’s final wages. However, PTO and vacation pay is treated differently.
In California, PTO is not mandatory, but once offered, it’s considered deferred wages. Given an employee’s prior written authorization, the employee may agree to receive loan balance as payment of PTO in lieu of cash payment.
7. What happens if the net PTO payout is less than the outstanding balance?
HoneyBee will continue to work with the employee to collect the rest of the outstanding balance upon separation.
Get In Touch