Authors : Nicholas Taylor

Volume/Issue : Volume 10 - 2025, Issue 9 - September

Google Scholar : https://tinyurl.com/mtushwj6

Scribd : https://tinyurl.com/46ktf3jv

DOI : https://doi.org/10.38124/ijisrt/25sep119

Note : A published paper may take 4-5 working days from the publication date to appear in PlumX Metrics, Semantic Scholar, and ResearchGate.

Note : Google Scholar may take 30 to 40 days to display the article.

Abstract : Salary payment in Ghana varies across sectors, not only in mode (cash, bank transfer, or mobile money), but also in frequency (monthly, weekly, and daily disbursements). The variations in payment mode and frequency have significant implications on financial well-being and employee behaviour. With improvements in Ghana's digital financial platforms as employee structures diversify, understanding how salary payment mode and frequencies shape employee financial planning, work motivation, and overall economic planning life is of interest to companies, employees and scholars. This research investigates the extent to which salary payment preferences in terms of mode and frequency shape the behaviour of employees and economic outcomes. This study adopted a cross-sectional quantitative research approach from 300 employees across public and private institutions in the Greater Accra Region of Ghana using stratified and purposive sampling techniques. The targeted respondents were a mix of workers receiving monthly, weekly and daily wages via various modes. Responses were analysed using Structural Equation Model (SEM) Analysis with descriptive analysis with SPSS version 27. The findings revealed that monthly bank or mobile money payments have a significant relationship with financial planning capacity, job commitments, and access to credit facilities. Weekly payments offered employees flexibility to meet short-term expenses. Employees with daily payment are exposed to higher financial vulnerabilities and lower job satisfaction. The study recommends employers consider flexible and robust salary systems that target specific employee needs. The study contributes to the development of policy frameworks for salary payment modes and frequencies to improve employee economic empowerment.

Keywords : Salary Payment Preferences, Payment Frequency, Payment Mode, Employee Work Behaviour, Financial Planning Capacity, Economic Life Outcomes.

References :

1. Adaba, G. B., Ayoung, D. A., & Abbott, P. (2019). Exploring the contribution of mobile money to well‐being from a capability perspective. The Electronic Journal of Information Systems in Developing Countries, 85(4). https://doi.org/10.1002/isd2.12079
2. Adam, A.-K. (2024). The Impact of Reward Systems: Remuneration on Job Satisfaction Within the Hospitality Industries in Ghana. Journal of Organizational Behavior Research, 9(1), 32–47. https://doi.org/10.51847/zr4phuhck0
3. Addai, B., & Arthur, B. (2020). GHANA’S ROAD TO CASHLESS ECONOMY: THE E-ZWICH EXPERIENCE. Journal on Innovation and Sustainability RISUS, 11(1), 52–67. https://doi.org/10.23925/2179-3565.2020v11i1p52-67
4. Ampong, I. (2024). Assessing the effect of employee welfare and compensation on organizational performance: a case of Sahel Sahara Bank Ghana limited. Cogent Business & Management, 11(1). https://doi.org/10.1080/23311975.2024.2315690
5. Asaari, M. H. A. H., Desa, N. M., & Subramaniam, L. (2019). Influence of Salary, Promotion, and Recognition toward Work Motivation among Government Trade Agency Employees. International Journal of Business and Management, 14(4), 48. https://doi.org/10.5539/ijbm.v14n4p48
6. Batista, C., & Vicente, P. C. (2023). Is Mobile Money Changing Rural Africa? Evidence from a Field Experiment. The Review of Economics and Statistics, 1–29. https://doi.org/10.1162/rest_a_01333
7. Buehren, N., Ceretti, V., Dervisevic, E., Goldstein, M., Klapper, L., Koroknay-Palicz, T., & Schaner, S. (2018). Salary Delays and Overdrafts in Rural Ghana. AEA Papers and Proceedings, 108, 449–452. https://doi.org/10.1257/pandp.20181014
8. Cheung, G. W., Cooper-Thomas, H. D., Lau, R. S., & Wang, L. C. (2023). Reporting reliability, Convergent and Discriminant Validity with Structural Equation modeling: a Review and best-practice Recommendations. Asia Pacific Journal of Management, 1(1). https://doi.org/10.1007/s10490-023-09871-y
9. Commons, O., Ibrahim, O., & Simon, T. (2020). Influence of Promotion and Prompt Salary Payment on Job Performance of Library Personnel in University Libraries in Nasarawa State (p. 4742). https://digitalcommons.unl.edu/context/libphilprac/article/8770/viewcontent/auto_convert.pdf
10. Darmawan, K. (2021). SALARY: DOES AFFECT EMPLOYEE MOTIVATION AND PERFORMANCE? International Journal of Accounting and Management Research, 1(2), 46–51. https://doi.org/10.30741/ijamr.v1i2.642
11. Demirguc-Kunt, A., Klapper, L., Singer, D., & Ansar, S. (2021). The Global Findex Database 2021. Worldbank.org. https://doi.org/10.1596/978-1-4648-1897-4
12. Dhamija, P., Gupta, S., & Bag, S. (2019). Measuring of job satisfaction: the use of quality of work life factors. Benchmarking: An International Journal, 26(3), 871–892. https://doi.org/10.1108/bij-06-2018-0155
13. Dzin, N. H. M., & Lay, Y. F. (2021). Validity and Reliability of Adapted Self-Efficacy Scales in Malaysian Context Using PLS-SEM Approach. Education Sciences, 11(11), 676. https://doi.org/10.3390/educsci11110676
14. Good, N. (2019). Using behavioural economic theory in modelling of demand response. Applied Energy, 239, 107–116. https://doi.org/10.1016/j.apenergy.2019.01.158
15. Haji-Othman, Y., & Mohd. (2022). Assessing Reliability and Validity of Attitude Construct Using Partial Least Squares Structural Equation Modeling (PLS-SEM). International Journal of Academic Research in Business and Social Sciences, 12(5), 378–385. http://dx.doi.org/10.6007/IJARBSS/v12-i5/13289
16. Havez, M., & Abdurrahim, N. (2025). Evaluation of employee salary systems through the lens of sharia economic law. Ex Aequo et Bono Journal of Law, 2(2). https://doi.org/10.61511/eaebjol.v2i2.2025.1403
17. Hoffmann, B., Vera-Cossio, D. A., Romero, K. H., & Pecha, C. (2024). Research Insights: Does Adopting Digital Payment for Cash Transfers Improve the Financial Inclusion and Financial Well-Being of Low-Income Households? https://doi.org/10.18235/0013038
18. ILO. (2023). Promoting responsible digital wage  payments. https://www.apindo.or.id/storage/files/study-and-research/hXS8swRVolEhlUzkLEN1VlsNTgb5CR2gzn0JpoNs.pdf?
19. Kling, G., Pesqué-Cela, V., Tian, L., & Luo, D. (2020). A theory of financial inclusion and income inequality. The European Journal of Finance, 28(1), 1–21. https://doi.org/10.1080/1351847x.2020.1792960
20. Ngozi, A., Lenu, M., & Borle. (2023). Teachers’ Regular Promotion and Prompt Payment of Salary as Correlates of Job Effectiveness in Public Senior Secondary Schools in Rivers State. INTERNATIONAL JOURNAL of ADVANCEMENT in EDUCATION, 6(1). https://www.globalacademicstar.com/download/article/teachers-regular-promotion-and-prompt-payment-of-salary-as-correlates-of-job-effectiveness-in-public-senior-secondary-schools-in-rivers-state.pdf
21. Ozili, P. K. (2020). Theories of Financial Inclusion. Uncertainty and Challenges in Contemporary Economic Behaviour, 89–115. https://doi.org/10.1108/978-1-80043-095-220201008
22. Rahman, S. A., Didarul Alam, M. M., & Taghizadeh, S. K. (2019). Do mobile financial services ensure the subjective well-being of micro-entrepreneurs? An investigation applying UTAUT2 model. Information Technology for Development, 26(2), 421–444. https://doi.org/10.1080/02681102.2019.1643278
23. Roberts, A., & Kwon, R. (2022). The structure of financial systems and top incomes in advanced economies: A comparative distributional analysis of the financial wage premium. Research in Social Stratification and Mobility, 77, 100675. https://doi.org/10.1016/j.rssm.2022.100675
24. Sabri, M. F., Wijekoon, R., & Rahim, H. A. (2020). The influence of money attitude, financial practices, self-efficacy and emotion coping on employees’ financial well-being. Management Science Letters, 10(4), 889–900. https://doi.org/10.5267/j.msl.2019.10.007
25. Sakyi‐Nyarko, C., Ahmad, A. H., & Green, Christopher J. (2021). Investigating the well‐being implications of mobile money access and usage from a multidimensional perspective. Review of Development Economics, 26(2), 985–1009. https://doi.org/10.1111/rode.12848
26. Shonchoy, A. S., & Riley, E. (2019). The impact of salary payment frequency on consumption smoothing, saving and investment patterns of civil servants in Ghana. The Abdul Latif Jameel Poverty Action Lab (J-PAL). https://www.povertyactionlab.org/initiative-project/impact-salary-payment-frequency-consumption-smoothing-saving-and-investment?
27. Simatele, M. C., Ssonko, G. W., Kawooya, D. R., Bwalya, M., Khumalo, S., Kabange, M. M., Mishi, S., Mushonga, F. B., Tshabalala, N., Mutyavaviri, T., Dlamini, P. G., Dlova, M., Dube, Z., & Kichini, G. (2021). Financial inclusion: Basic theories and empirical evidence from African countries. In Library Union Catalog of Bavaria, Berlin and Brandenburg (B3Kat Repository). University of Illinois Urbana-Champaign. https://doi.org/10.4102/aosis.2021.bk255
28. Spangenberg, J. H., & Lorek, S. (2019). Sufficiency and consumer behaviour: From theory to policy. Energy Policy, 129(1), 1070–1079. Sciencedirect. https://doi.org/10.1016/j.enpol.2019.03.013
29. Stephen, M. C. (2022, January 13). BoG Releases New Strategic Plan To Guide Payment Systems, Fast-Track Cash Lite Economy. The Vaultz News. https://thevaultznews.com/2022/01/13/bog-releases-new-strategic-plan-to-guide-payment-systems-fast-track-cash-lite-economy/
30. Yakubu, A. (2021). Effect of Mobile Money on Financial Inclusion Among Rural Communities in the Asikuma-Odoben-Brakwa District of the Central Region of Ghana [Doctoral dissertation, University of Cape Coast]. https://ir.ucc.edu.gh/xmlui/bitstream/handle/123456789/7400/YAKUBU%2c%202021.pdf?sequence=1&isAllowed=y