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Stripe Payouts to Workers: Why Stripe Express Is Required

Brianna Lysaith avatar
Written by Brianna Lysaith
Updated over 2 weeks ago

To pay workers efficiently and compliantly through the platform, we use Stripe as our payment and payout provider. Stripe offers multiple account types, but Stripe Express is the best option for tenants who plan to pay workers through the platform.

This article explains:

  • How Stripe payouts to workers work
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  • Why Stripe Express is required
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  • What happens if you signed up with a Standard account
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  • How to switch to Stripe Express if needed
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How Stripe Payouts to Workers Work

When you pay workers through the platform, funds move through Stripe in a structured way:

  1. A client is charged for a completed shift or order.
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  2. Funds are processed and held by Stripe.
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  3. Stripe pays the worker directly to their connected account (bank account or debit card), based on the payout schedule.
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Stripe manages:

  • Worker onboarding and verification
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  • Tax and compliance requirements
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  • Payout timing and delivery
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  • Dispute and chargeback handling (when applicable)

To support this workflow, WOLF recommends the Express account type.

Why Stripe Express?

Stripe offers three main account types: Standard, Express, and Custom. While Standard accounts work well for standalone businesses, they are not compatible with platform-based worker payouts.

Stripe Express is required because it:

  • Provides straightforward onboarding
    ​    Stripe Express requires less information from workers to get their bank account added, leading to an improved worker experience and reducing your administrative burden.
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  • Enables same-day payouts
    ​     Workers can request a portion of their payment to be received the same day
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  • Is designed for marketplaces and staffing platforms
    ​    Express is specifically built for platforms that facilitate payments between clients and workers.
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What to Do If You Accidentally Signed Up for Stripe Standard

This is a common situation, especially for new tenants. The good news is that it can be fixed.

Important to know

  • A Stripe account cannot be converted from Standard to Express.
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  • You will need to disconnect the Standard account and create a new Stripe Express connection.
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Steps to switch to Stripe Express

  1. Disconnect your existing Stripe account
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    • Go to your billing or payout settings on the platform.
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    • Disconnect the currently linked Stripe Standard account.

  1. Start the Stripe Express setup
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    • Click the option to connect Stripe again.
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    • You will be guided through the Stripe Express onboarding flow.

  1. Complete the Express onboarding
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    • Provide business details as requested by Stripe.
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    • Confirm payout and tax information.
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    • Ensure the setup is completed fully (not left in “incomplete” status).
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  2. Verify connection
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    • Once completed, your Stripe status should indicate Express.
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    • Worker payouts will now be enabled.
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If you are unsure which Stripe account type you connected, support can help verify this for you.

Best Practice for New Tenants

If you are setting up Stripe for the first time:

  • Always choose Stripe Express
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  • Complete the onboarding in one session if possible
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  • Ensure your business information matches your legal entity
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Need Help?

If you believe your Stripe setup is incorrect, or if payouts are not working as expected, contact Stripe support. They can:

  • Confirm your Stripe account type
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  • Help you disconnect and reconnect correctly
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  • Answer questions about payout timing and worker setup
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