PayPal Ventures, Valar Ventures, Founders Fund, and Marc Benioff today announced a new round of strategic investment in Even (even.com) to address the growing financial uncertainty American workers are facing.
San Francisco-based Even.com is a financial service company that allows users to get paid on demand, budget instantly, and save automatically.
Designed to improve both the financial wellness of employees and the financial performance of employers, Even combines on-demand pay (Instapay™) with engaging budgeting and savings tools necessary to ensure long-term financial stability. It operates on a subscription model. Members pay a flat monthly fee, which employers can subsidise, for access to all of Even’s features, including Instapay™.
Those improvements in employee financial stability are directly linked not only to improved satisfaction and productivity, but dramatically increased retention and reduction in the heavy costs associated with turnover, according to the firm.
“Even’s holistic budgeting and saving tools differentiate it from others in the on-demand pay space. Its success with Walmart, including engagement rates on par with social media, is undeniable proof that this model works. PayPal and Even share a commitment to leveraging technology to enable financial wellness. We are proud to invest in this team as it aims to expand into every major employer in the U.S.” said Jay Ganatra, partner at PayPal Ventures.
Even now has more than 500,000 monthly active users, with more than 50% using the app every day. At Walmart, where Even is now offered for free to more than 1.5 million associates, it is the third most widely used benefit behind only healthcare and 401k. Even’s savings feature also helps the average user go from $0 to $160+ in savings in just three months, saving a total of more than $10 million since it was introduced in 2019.
“For more than a decade, average Americans have been living paycheck to paycheck, with no money in the bank, stuck in a cycle of dependence on loans and credit. It should be no surprise, then, that closing the economy and taking away paychecks has been disastrous for so many. Living on the financial edge isn’t just unhealthy for families–it’s also bad for business, because it leaves people searching for a new employer that might lead to a better life. The good news is that forward-thinking employers are starting to do their part to help, by empowering their employees with immediate access to their pay, and delivering that benefit responsibly with the tools people need to save for their future,” Jon Schlossberg, CEO and co-founder of Even, said.