Paychex and PayPal Team Up to Bring Direct Deposit Alternatives Into Paychex Flex® Perks
Paychex Flex Perks expands to 25 employee benefit offerings with PayPal integration
Paychex, Inc. (NASDAQ:PAYX), an industry-leading human capital management (HCM) company, announced today a new partnership with PayPal (NASDAQ:PYPL) within its Paychex Flex® Perks platform, Paychex's digital marketplace of curated employee benefits. Through this collaboration, employees of Paychex customers have the ability to easily set up PayPal Direct Deposit, providing up to two-day early access to their paychecks.
According to the Federal Deposit Insurance Corporation, approximately 5.6 million U.S. households were unbanked in 2023 where no one in the household owned a checking or savings account at a bank or credit union. The survey also found that not having enough money to meet minimum balance requirements (42.3 percent) was the most cited reason for not having a bank account.
"In today's economy, workers face numerous financial pressures," said Cory Mau, Paychex vice president of corporate strategy, business development, and investor relations. "We are pleased to announce another financial wellness solution available to the employees of our customers through PayPal. Providing an alternative solution for employees of our clients to establish direct deposit connection to either an existing or new PayPal account facilitates effortless access to their compensation, particularly benefiting individuals who may be unbanked."
Employees who enroll in PayPal Direct Deposit will benefit from:
- Early Pay Access: By using Direct Deposit with PayPal, employees can receive their pay up to two days early.1
- Access to the full PayPal product suite: Customers who set up PayPal Direct Deposit on Paychex Flex® can also take advantage of PayPal's suite of financial products and services, including the PayPal Debit Mastercard®2 which they can use in any store or online, wherever Mastercard is accepted, and earn 5% cash back on a monthly spend category of their choosing.3 Customers can also send money to friends and family4, earn cashback and rewards in the PayPal app5 and transfer funds into PayPal Savings, a high-yield savings account provided by Synchrony Bank, with a current 3.65% APY, that's 9x the national average.6
- Enhanced Financial Flexibility: Help employees manage their finances by offering them the ability to transfer any portion of their pay to PayPal, providing choice and flexibility to manage their money effectively with a trusted partner.
"PayPal is helping consumers make the most of their money, optimizing cash back and rewards while also offering a trusted, flexible and seamless experience," said Scott Young, SVP, Consumer Financial Services, PayPal. "We're excited to bring that same access to employers and employees of the Paychex Flex Perks program."
With the addition of PayPal, Paychex has made 25 employee benefit offerings available through Paychex Flex Perks, which was created to meet the unique personal and financial benefit needs of today's multi-generational workforce.
Paychex Flex Perks is available in Paychex Flex, the company's cloud-based HCM SaaS platform for SMBs, making it easy and intuitive for employees to enroll in benefits. Employees can self-select additional benefits based on their personal needs. Benefits are paid through payroll or directly to the benefits provider at no cost to the employer.
With Paychex Flex Perks, businesses of all sizes can offer enterprise-level benefits that either augment existing employee benefit packages or enable businesses to offer employee benefits for the first time. The digital marketplace is curated with employee benefits to address the needs of today's diverse, multi-generational workforce. More than 270,000 customer employees have purchased at least one benefit from the marketplace.
Paychex plans to continue expanding the number of offerings within Paychex Flex Perks based on evolving trends and customer feedback. Employers looking to offer benefits like PayPal to their employees through Paychex Flex Perks visit go.paychex.com/perks.
About Paychex
Paychex, Inc. (NASDAQ:PAYX) is the digitally driven HR leader that is reimagining how companies address the needs of today's workforce with the most comprehensive, flexible, and innovative HCM solutions for organizations of all sizes. Offering a full spectrum of HR advisory and employee solutions, Paychex pays 1 out of every 11 American private sector workers and is raising the bar in HCM for approximately 800,000 customers in the U.S. and Europe. Every member of the Paychex team is committed to fulfilling the company's purpose of helping businesses succeed. Visit paychex.com to learn more. Visit paychex.com to learn more.
About PayPal
PayPal has been revolutionizing commerce globally for more than 25 years. Creating innovative experiences that make moving money, selling, and shopping simple, personalized, and secure, PayPal empowers consumers and businesses in approximately 200 markets to join and thrive in the global economy. For more information, visit https://www.paypal.com, https://about.pypl.com/ and https://investor.pypl.com/.
Disclosures:
1 Early access allows access to your funds up to 2 days before the scheduled payment date. Early access depends on payer availability and when PayPal gets payment instructions from Paychex.
2 The PayPal Debit Mastercard® is issued by The Bancorp Bank, N.A. (The Bancorp), pursuant to a license by Mastercard International Incorporated and may be used everywhere Mastercard is accepted. Mastercard and the circles design are registered trademarks of Mastercard International Incorporated. The Bancorp is issuer of the Card only and not responsible for the associated accounts or other products, services, or offers from PayPal. PayPal is a financial technology company, not a bank. The Card is linked to a PayPal Balance Account. See PayPal Balance Terms and Conditions.
3 Check offer for details. Offer terms and PayPal Rewards terms and exclusions apply. See https://www.paypal.com/us/digital-wallet/manage-money/paypal-debit-card for 5% cash back earned on up to $1000 of selected category spend per month. Cash back awarded as points that can be redeemed for cash or other options. Terms apply
4 Sending and receiving money requires an account with PayPal. A PayPal Balance account is required to hold and use a balance.
5 Check offer for details. Offer terms and PayPal Rewards terms and exclusions apply.
6 As of November 18, 2025, the annual percentage yield (APY) for PayPal Savings is 3.65%. This is a variable rate and can change at any time, including after the account is opened. National average source: FDIC National Rates and Rate Caps as of December 15, 2025. PayPal Savings is provided by Synchrony Bank, Member FDIC. Money in PayPal Savings is held at Synchrony Bank. A PayPal Balance account is required to use PayPal Savings. PayPal is a financial technology company, not a bank, and is not FDIC-insured.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260108627493/en/
Media
Chelsea Wernick
Public Relations Program Manager
Paychex, Inc.
(585) 216-2974
[email protected]
@Paychex
PayPal Media Relations
[email protected]
@PayPal