By Diane Macheers

Every payday, I’m reminded how much trust our team members place in us. They work hard, show up for our residents, and do everything they can to support themselves and their families. As an employer, we believe our responsibility goes beyond a paycheck — we should also provide tools that help our employees stay financially stable when life throws the unexpected their way.

That’s why our company offers earned wage access (EWA) as a benefit. It’s a simple concept: employees can access up to 50% of the wages they have already earned before their scheduled payday if they need them. This means they have responsible options. They aren’t forced to turn to predatory loan products or credit cards with exorbitant interest rates — for those who can even access a credit card. Instead, they have access to their own money in case of an emergency like a car repair or medical bill or simply to cover groceries and gas when things get tight.

Let me give a real-world example. A team member has an issue with their car on a Tuesday and payday is not until Friday. The car repair costs $100 and must be paid Tuesday. This employee is able to access the $100 before Friday and return to work immediately. The $100 is deducted from their paycheck on Friday. There is no interest. This is not a loan — this is the team member’s money accessed early.

For many of our team members, that flexibility makes a real difference, and they tell us so — and that’s why we support House Bill 1046. Providing this service to our team members has increased morale and retention — which is critical for our business, especially for our care partners whose residents depend on consistency in their care.

Across Colorado, nearly 40% of people live paycheck to paycheck, and many households don’t have $400 in savings to cover an unexpected expense. When your car breaks down, your child gets sick, or rent is due before payday, the stress is immediate and real. Even the most careful budgeting can’t always prevent those moments. Having the option to access money you’ve already earned can be the difference between staying afloat and falling into a financial spiral.

That’s exactly what earned wage access provides.

Employees can access their earned wages for free within a few days, or choose an instant transfer for a small flat fee — typically around $3.50. Compare that to the alternatives many workers face: overdraft fees that average about $35, credit cards charging 20% to 45% interest, or predatory payday loans that historically carried APR rates approaching 400%. Many of our employees may also not want to be forced to ask a family member or friend for money, if they even have someone with that kind of extra income to ask.

Colorado made the right decision when it effectively ended payday lending practices that trapped families in cycles of debt. But eliminating harmful products also means ensuring responsible alternatives exist. Earned wage access fills that gap by helping workers avoid risky financial options in the first place.

The reality is this benefit is already helping thousands of people. We are proud to be among the more than 2,000 employers in Colorado that offer EWA services. More than 150,000 workers have used them.

As an employer, we’ve seen firsthand how valuable this tool can be. Team members feel less financial stress when they know they have flexibility to handle emergencies — and when employees feel supported, they bring that stability back to the workplace.

House Bill 1046 will ensure we can continue to offer EWA services, and Colorado workers can benefit from them. This bill creates a clear regulatory framework for earned wage access in Colorado that puts consumers first. The bill requires providers to offer at least one free option, caps instant transfer fees, prohibits late fees or interest, and ensures EWA transactions remain non-recourse, meaning workers cannot be sued, sent to collections, or penalized if an advance isn’t repaid. It establishes licensing requirements for providers, places oversight under the Colorado Attorney General’s office, and protects users’ privacy.

I find the claims by opponents of this bill my team members are being preyed upon by these products or don’t understand they are being charged a fee for an instant transfer misguided at best and insulting and patronizing at worst. No one understands their finances and their budget better than hardworking Coloradans who, especially in the current economic climate, are constantly asked to do more with less.

For employers like us, this is about doing right by the people who make our businesses run. For workers, it’s about dignity, flexibility and the ability to handle life’s unexpected moments without falling behind. Our team members and all Coloradans deserve access to the wages they’ve already earned. Passing House Bill 1046 will help ensure they continue to have it.

Diane Macheers is vice president of marketing and communications for The Ridge Senior Living. Diane has a Bachelor of Science in Journalism from the University of Kansas and a Masters of Business Administration from MidAmerica Nazarene University. With a passion for service, Diane uses her time outside of work to contribute to civic and community causes.