Paytm has launched a one-of-its-kind Food Wallet, which allows companies to offer tax-free food allowance to its employees. The wallet, which is part of the main Paytm app, essentially rivals existing food coupon services that are offered to employees for paying for their food bills and availing discounts on select outlets. The Paytm Food Wallet aims to provide flexibility and ease of adding credit to the employees’ accounts. Also Read - Alert! Paytm cashback scam: Fake Paytm website, it's a trick to steal your moneyAlso Read - 5 apps helping people get through the COVID-19 second wave: Twitter, CoWIN, Aarogya Setu
As Paytm notes in its blog, about 60 lakh Indians struggle to file their food voucher claims every year owing to spoilt paper coupons, low acceptability, and expiry dates. With Paytm Food Wallet, the company aims to eliminate the risk of loss or expiry. Here s how the wallet for digital food credit works. Also Read - How to find COVID-19 vaccine slot using Paytm app
The Food Wallet balance is tucked neatly under the Passbook option on the Paytm app. The credit in the wallet is redeemable at office cafeterias along with a range of online and offline food outlets which include KFC, Burger King, Zomato, Pizza Hut, Caf Coffee Day and Big Bazaar among others. The wallet credit also supports online food ordering from platforms such as Swiggy and Zomato. Employees will also be offered exclusive deals, discounts, and cash back as part of the Food Wallet. Additionally, employees can also use nearby feature of the Paytm app to locate the closest food outlet.
Meanwhile, for employers, the wallet allows for an easy and instant transfer of credit. Employers can transfer money seamlessly to food wallets of employees based anywhere in the country without going through the hassles of procuring, handling and distributing coupons and cards.
Now there are certain key elements to the Paytm Food Wallet which need to be understood. For example, employers can opt for a daily, monthly or quarterly payout option. To avoid instances of misuse, the Food Wallet comes with the complete suite of in-app security features available on the main Paytm app such as app lock password, two-factor authentication and passcode among others. ALSO READ: Paytm targets offline merchants with new QR code-based service, ties up with Samsung
It is worth mentioning that the Paytm Food Wallet is valid only for payments related to food or beverage purchase. Additionally, the credit in the wallet will be valid for the employee forever, which basically means that the tentative deadline of 10 years or beyond, as set by a company, could be extended further automatically. The new wallet feature is currently live in over 10 corporate offices.
The introduction of Food Wallet comes in light of RBI s recent guidelines for all prepaid meal vouchers to go digital by the end of this year. Companies such as Sodexo have already moved to a prepaid card format, and Paytm s launch of the new wallet aims to make the jobs of corporates easier when it comes to distributing and keeping a track of tax-free employee benefits such as meal coupons and food vouchers.