#166 - Rethinking Payroll: Revolutionizing Compensation for Employers and Employees

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On this episode of The ASHHRA Podcast, we delve into the current system of employee compensation. Hosts Bo and Luke are joined by guest speakers Rob Frohwein and Kathryn Petralia, co-founders of Keep Financial. They discuss the flaws in the traditional bi-weekly payment system and how it benefits payroll companies, banks, and intermediaries more than the employees and employers themselves. 

The conversation shifts towards the potential benefits of restructuring compensation to eliminate middlemen, save on fees, and take advantage of the time value of money. This shift could lead to increased employee retention, easier attraction of talent, and better overall performance. The current system, they argue, is not aligned with the way businesses operate or how employees manage their lifestyle. 

The focus of this episode is on moving towards flexible compensation, where employers can customize the size of compensation and employees can personalize it to fit their specific needs. The speakers emphasize that this shift is not about making employees millionaires, but about improving their financial position and providing them with more control over their compensation.