Sep 9, 2009

Spend it Before You Leave, Please!

I worked at Kmart in the late 70s. They paid us in cash. Yes, cash. We'd go, one at a time, into the Personnel Manager's office. She and a store Assistant Manager were there. She'd hand you an envelope with your cash, and ask you to count it before you leave, to verify you were paid correctly. The flap of the envelope documented your hours, pay, and deductions.

As you can probably guess, more than a little of that cash stayed behind at the store before we left for the day. I need peanut butter, I have cash... it follows.

What a great sales strategy for them. Had they given us a payroll check, and we took it to the bank, cashed or deposited it, then came back to the store to spend our hard-earned wages, some of those dollars might get spent elsewhere in the meantime.

Since bank accounts are free in many places, there's no excuse not to have one, but let's say you don't have an account. There are places that will cash your payroll check, such as Walmart, and your local bartender. If he knows you, and your boss.

Chances are not good that your company will cash your payroll check.

Today, you don't get a check any more. If you don't have a bank account for direct deposit, (which is required for government jobs and probably some others) then you get a debit card with the money "pre-loaded." It's all electronic, electrons bumping into other electrons as the so-called money "moves" from the company's account to the employee's.

We're back to the Kmart opti0n now, aren't we? I have a debit card with funds loaded. I think I'll swipe-swipe my little card at the checkout as I pick up peanut butter on my way out the door...

We've come full circle.

Now instead of spending our cash before we leave, we're swiping our debit card before we leave. Careful. It's easy to get "spendy" on payday. Especially when it doesn't look like money.

On what are you spending your hard earned money today?

No comments:

Post a Comment