In great news for Canadian businesses, Square has launched Balance Folders!
Balance Folders makes it easy for you to set aside money for upcoming expenses, big business purchases or financial goals. Create a custom folder for taxes, payroll or even a rainy day and automatically set aside a percentage of every sale in that folder. This allows you to keep tabs on your money to avoid overspending, automatically sort funds with purpose, set short- and long-term goals, and see your progress along the way.
Balance Folders allow you to:
- Automate contributions – automatically set aside a percentage of your sales with purpose.
- Stay organized – set short- and long-term goals and track your progress along the way.
- Move your money – transfer funds out of Square and to your bank when you need to.
- Customize your folders – create, consolidate, or change folders any time, for free.
- Keep more of your money – no account fees or minimums.
How do Balance Folders work?
Balance Folders put budgeting on autopilot. You can create custom folders dedicated to an expense or financial goal and set up automatic contributions so you are setting aside money without manually transferring funds.
The money you set aside in folders will live in your Square Balance. When it’s time to access that money, you can transfer it to an external bank account, either instantly for a small fee or within 1-2 business days for free. Or you can instantly move money from a folder to your Square Balance to spend using your Square Card.
Can I have instant access to the funds in my folders?
Yes, you can access and manage your folders in your Square Dashboard 24/7. You can transfer funds between folders and Square Card instantly and for free. You can transfer your money to an external bank account in 1–2 business days for free or instantly for a 1.5% fee.
Check with your external bank if there are any bank policies or other factors that may affect the timing of these transfers.
Do Balance Folders cost any additional fees for Square Sellers?
No, this tool is available to Square Sellers at no additional cost.
Is there a minimum balance requirement?
No. There is no minimum balance to create a folder.
Automate your budget with Balance Folders.
Organize, fine-tune and separate funds for your business.
Can I set up automatic contributions from multiple locations?
Yes. When you set up a folder, you have the option of attaching a folder’s automated contribution to one location or multiple locations with the flexibility of enabling and disabling automated contributions.
How do automated contributions work?
Enrolling in automated contributions can help you automatically set funds aside. You can enrol for a fixed percentage of every sale, and you can set a target for each folder. If you set a target, then once your target is met, the automated contributions will turn off.
Note: Automated contributions are applied to gross card sales including tips and taxes paid by customers using a credit or debit card. Automated contributions do not include Square payments made with cash, cheques or gift cards.
How to set up your first Folder
- Log in to your Square Dashboard and click Balance > Get started with Balance Folders.
- Click Next and verify your mobile phone number.
- Select the type of folder you want to create.
- For Your contribution, enter the percentage of sales you want to automatically transfer to this folder.
- Toggle on Apply to all locations if you want to contribute the same percentage for all locations.
- Click Confirm.
Find more information on how to manage Balance Folders here.
Square Balance Folders are not deposits, not CDIC-insured, and are not interest-bearing. Terms apply. Learn more.
Funds generated through Square’s payment processing services are generally available through Square Card immediately after a payment is processed. Fund availability times may vary due to technical issues. Square does not charge fees, but ATM withdrawal fees charged by ATM providers may apply. Square Card is funded on a prepaid basis. Square Card is not a bank account and Square Card funds are not CDIC-insured.
Instant transfers require a linked debit card and cost a fee per transfer. Only physical Canadian debit cards with Visa Debit or PLUS network support can be linked to a Square account at this time. Funds are subject to your bank’s availability schedule, but are generally available in your bank account within 20 minutes of initiating an instant transfer. Minimum amount is $25 CAD and maximum is $5,000 CAD in a single transfer. New Square sellers may be limited to one instant transfer per day of up to $500 CAD.