Wellhub Payroll Guide

Integrating Wellhub into your payroll system can seem daunting, but at Wellhub, we've got you covered. This guide will walk you through the process, ensuring zero headaches, so you'll be well-prepared to launch Wellhub in the way that best suits your organization.

Let's get started...

Decoding the Wellhub Payroll Process

For Employees

First, let's clarify how Wellhub works for your employees. Wellhub is a benefit that is flexible, allowing employees to join, upgrade, and pause their plans at any time during the year. This means that each employee has a unique subscription cycle which begins when they subscribe to a plan.

Plan upgrades take effect immediately, adjusting the employee’s billing period accordingly. Employees will be deducted the cost of the new plan, MINUS the unused days from their old plan.

Plan Upgrades

Employees have the option to pause their plan, which becomes effective on the day following the pause request. When the plan restarts, employees regain access to the paid and unused days from the billing period prior to pausing. Their new billing period won't start until the leftover days of the previous billing period are used.

Plan Pauses

Three days before your chosen billing date (the date that your payroll invoice (non-taxable) and deduction file are made available), Wellhub establishes a cut-off date that marks the end of your billing period. Wellhub uses this date to consolidate the payroll invoice (non-taxable) amount.

Employees who subscribe or upgrade before this cut-off date will have deductions for their current billing period in their upcoming paycheck. Those who subscribe or upgrade after this date will be included in the following month’s payroll deduction.

Let’s use employee ‘Maria’ as an example:

Maria subscribes to the Basic Plan on June 20th

As the company’s payroll cut-off date is 23rd June, the company’s billing period considers all employee subscriptions and upgrades that occur between 24th May and 23rd June

On Payday, the monthly charge for Maria’s plan is deducted from her paycheck

On July 20th, Maria’s plan renews

Decoding the Wellhub Payroll Process

For You

Now, let's shift our focus to what this means for you. Ensuring your employees receive their payments on time requires precise coordination and collaboration among various stakeholders. You have the flexibility to choose when you receive the file containing employee deduction information (Deduction File), aligning it with your payday and processing SLAs.

Here's a practical example using Maria’s company:

The billing date is the date that the deduction file and the payroll invoice (non-taxable) are made available. As the company’s payday is on June 29th, they chose to have the billing date on June 26th to give them ample time to process the deduction file in their payroll system

On Payday, Wellhub subscribers have the amounts owed for their subscriptions deducted from their paychecks

The due date is the date the company must pay the payroll [non-taxable] invoice directly to Wellhub

Now, let’s bring all the key steps together…

Decoding the Wellhub Payroll Process

Deduction File:

a monthly .xslx or .csv file that shows the total amount due from each employee. This file is used for processing in payroll systems.

Payroll Invoice [Non-Taxable]:

a document that informs the total amount owed to Wellhub.

Billing Date:

the date Wellhub sends the payroll invoice [non-taxable] and deduction file and makes it available on Wellhub for Companies.

Managing Payroll is as Easy as 1,2,3

Now, let's see how it works in practice with our HR platform, Wellhub for Companies. This streamlined process only takes up to 20 minutes of your time each month.

Update your employee list

Your HR admin can conveniently add and remove employees by updating your employee list in Wellhub for Companies.

Pro Tip: You can update the employee list as many times as needed within the month to accommodate new hires and departing employees.

Track deductions

On the billing page, your HR admin has a live preview of the current billing period’s payroll invoice (non-taxable) and deduction file. It updates daily to include new employees subscribing to Wellhub through paycheck deduction.

Download and process the deduction file

Your HR admin can download the deduction file for processing in your payroll system. Depending on your system, you may need to format the file to meet your system's requirements.

Pro Tip: Automate file transfers using SFTP for efficiency. Learn more

Voilà! Your payroll system is now set to deduct Wellhub subscriptions from employees' paychecks.

The Deduction File

The deduction file displays the total amount owed by each employee for the previous billing period, to be deducted from their paychecks. It includes the same employee information provided in the employee list file.

Available in CSV, XSLV
This file is to be used for payroll processing only. It includes subscribers who use paycheck as a form of payment and have quantifiable amounts to be deducted from their paychecks

What will I see on the deduction file when an employee pauses a plan?

Wellhub sets a cut-off date 3 days before your billing date. This marks the end of your billing period and is used to consolidate the deduction file.

If an employee’s plan is paused on this date, they won’t appear on the deduction file as no deductions are due.

If they pause between the cut-off date and when you receive the file, it will show the plan's value before pausing, reflecting their active plan status during the deduction file consolidation.

When the plan restarts, employees regain access to the paid and unused days from the previous billing period. Once these days are used, their new billing period will begin and this will be reflected in the deduction file.

If the new billing period begins between the cut-off date and when you receive the file, they’ll appear in the deduction file for the following billing period.

When employees upgrade to a new plan, the deduction file will show the difference between the value of the employee’s upgraded plan and the unused days of the old plan

Upgrades take immediate effect, adjusting employee’s billing periods accordingly.

If an upgrade occurs between the end of your billing period (cut-off date) and the date you receive the deduction file, the value of the plan before upgrading will be reflected. The upgrade will appear in the following billing period’s deduction file.

What will I see on the deduction file for employees who have upgraded a plan?

Payroll & Wellhub+

If your company offers no-cost plans with Wellhub+, employees who are subscribed to a no-cost plan with $0 value will not show on the deduction file.

Find out more about Wellhub+ and Payroll here

Tracking & Managing Leaving Employees

You're well on your way to integrating Wellhub into your existing payroll process. However, there's an important consideration: what happens when an employee leaves the company?

Establishing a process to remove departing employees from the employee list before their departure is essential. Once removed, a dedicated leaver's deduction file is generated. It’s similar to the standard deduction file but only includes the remaining amounts owed for each departing employee.

Pro Tip: Many clients opt to remove employees a month before their departure date.

Please note that when an employee is removed from the employee list, they will be notified via email.

When departure is unexpected, there are tools in place to ensure you are never short-changed:

Remove the employee from the employee list

Your HR admin can easily and quickly remove individual employees from the employee list.

Instantly download the leaver's deduction file

The leaver's deduction file is available immediately with the amount to collect during offboarding.

Pro Tip: Remember that employees are notified once removed from the list. If you are considering terminating an employee's contract, plan ahead and verify if the employee has any outstanding deductions owed in the live preview of the deduction file (found on the billing page).

With these steps, you can efficiently manage Wellhub payroll deductions for departing employees and ensure a smooth transition.

Integrations: Streamlining Payroll

Integrations

Streamlining Payroll

SFTP (Secure File Transfer Protocol) is available for transferring employee lists and deduction files.

To top it off, it’s a self-service feature on your Wellhub HR platform and PGP data encryption is available. If your company decides to implement SFTP, your HR admin can easily set this up with the help of your IT team and your dedicated Wellhub representative.

Payroll &

Wellhub+

Bonus Section

Payroll & Wellhub+

What is Wellhub+?

Wellhub+ allows companies to invest even further in their employees’ wellbeing with company-supported access to subscription plans at lower-to-no cost.

If your company offers Wellhub+, please note:

Employees who are subscribed to a no-cost plan with $0 value will not show on the deduction file.

If an employee upgrades from a no-cost plan to a paid plan, the value of the paid plan will show on the deduction file.

If they upgrade between the end of your billing period (cut-off date) and the date you receive the deduction file, the employee will be included in the deduction file for the following billing period.

For guidance on tax reporting, consult your company’s tax professional.

FAQ

Is it possible to adapt the billing frequency to my company's payroll cycle, which is not monthly (ie. weekly or bi-weekly)?

The billing frequency is monthly to align with users' plans. However, you can choose a specific billing date that corresponds to a paycheck within the month for the subscription amounts to be deducted.

What if some employees cannot use paycheck deductions for payment?

Your HR admin can easily disable payroll for individuals or groups of employees using the ‘payroll enabled’ field when uploading the employee list. Organizations may utilize this feature for employees who may not always meet the minimum amount on their paycheck for the Wellhub deduction to be included.

How does adding Wellhub to my payroll impact tax reporting?

Please consult your company’s tax professionals for guidance on tax reporting questions.

That’s it! Hopefully, we’ve covered everything you need to know to successfully implement Wellhub into your payroll process.

We’re here to help! Ask your HR contact to organize a call with a Wellhub representative who can discuss your specific needs.

Still have questions?