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Purchasing Power

Frequently Asked Questions

1. What are the direct and indirect costs of the program?
   There is no implementation or annual fee associated with Purchasing Power. Indirect costs, while minimal, may be incurredmanaging the payroll deductions process.


2. What percentage of employees participate in Purchasing Power?
   On average, clients have a participation rate of 10% in year one and up to 25% within the first three years.


3. What if we already have an Employee Purchase Program (EPP) with Dell, Gateway or some other OEM? Will Purchasing Power be competition to my EPP?
   This program will not compete with your current EPP. On the contrary, Purchasing Power will compliment your EPP. The manufacturers understand our market and recognize our unique value and we can promote both options so that employees choose the best method to meet their needs.


4. How do employees get service or support for purchases?
   Purchasing Power handles all customer care issues including order management, sales support and returns. The manufacturer provides technical support and each system includes a three year warranty.


5. Can we customize the bundle hardware/software/peripherals to ensure compatibility with our existing architecture.
   If you have at least 2,500 employees, Purchasing Power can tailor the offerings to meet your specific requirements.


6. Is Purchasing Power pricing competitive?
   Purchasing Power is a very competitive solution for buying a computer. With no interest and a 12 month term, Purchasing Power will save an employee hundreds of dollars compared to high-interest, long term financing. Buying direct from the manufacturer is the best option if the employee has cash. However, Purchasing Power is intended for individuals who do not have cash, do not qualify for traditional credit, value the convenience of automatic deductions or prefer the savings of a no interest 12 month term.


7. I see computer manufacturers offering 0% financing from time to time? What is the interest rate charged with Purchasing Power?
   Purchasing Power extends a 0% interest rate to all participating employees regardless of their personal credit history. Manufacturers will advertise 0% interest, on a limited basis, in order to stimulate sales. In most cases, the 0% interest rate is only available to individuals with a perfect credit history. Manufacturers commonly reject 40-70% of applicants due to poor or insufficient credit history.


8. How is Purchasing Power marketed to employees?
   Purchasing Power will develop a unique marketing plan. This plan may include on-site enrollments, e-mail campaigns, direct mail, worksite posters and displays, payroll stuffers, etc. Purchasing Power handles production and distribution to your employees.


9. How are new product offerings provided to employees and what is required of the company?
   Purchasing Power will develop, design and distribute customized marketing materials to your employees with the goal of maximizing awareness in the program. As the employer, we ask that you assist in the distribution area (e.g. provide contact lists, facility addresses, etc.).


10. What is the procedure for setting up employment verifications?
    Purchasing Power will work to establish a verification process that is effective, yet easy to manage. Verifications can be completed via phone, e-mail, file exchange/transfer or automated system interface.


11. What happens if a participating employee is terminated or separates from the company? Does the company have any liability?
    The employer does not have any liability for an employee's computer purchase. Per our client agreement, we require that you notify us as soon as possible when an employee's work status changes. If an employer can and will with hold from a final paycheck is not sufficient to satisfy the balance, or the employer cannot withhold from the final paycheck, then Purchasing Power contacts the former employee to make alternative arrangements.


12. How do you handle collections for laid off employees?
    Advance notice is requested and in the event of employee layoffs or plant or division closing, you will need to notify Purchasing Power immediately so that we may stop processing orders from the affected facilities and/or business units.


13. How do you handle leaves of absence both paid and non-paid? (FMLA, worker's compensation, maternity, short and long term disability)
    Per the approval of the employee and as allowed by law, any outstanding balance will need to be taken from the employee¹s final check. If funds are not available, an alternative payment schedule will be set up with the employee.


14. Can the program be set up as pre-tax deductions?
    Presently, state and federal laws do not provide for this option.


15. If we subsidize, can the subsidy be handled as a pre-tax payroll?
    Subsidizing the program is recommended and will increase employee participation significantly. We off many subsidy options to support recruiting and retention efforts.


16. How much time will this program take our payroll personnel?
    The program requires a modest amount of time for your payroll and HR departments. In most cases, nearly all necessary business processes can be automated to eliminate manual intervention.


17. Is there a specific period for payroll deductions or can it vary from employee to employee?
    The standard Purchasing Power payroll deduction period is 12 months. We can accommodate for all payroll frequencies (e.g. weekly, bi-weekly, semi-monthly, monthly, etc.) and varying schedules.