“Can real-time payroll data turn workers' comp from an estimation-and-audit business into a pay-as-you-go subscription?”
Founded 2018 in Palo Alto to solve a problem Tom Sagi encountered in real estate — managing workers' comp for hourly workers is painful and relies on wage estimates that are always wrong. Hourly's thesis is to fuse real-time time tracking, payroll, and pay-as-you-go workers' comp into one stack, pricing comp off actual payroll data rather than annual estimates. The company operates its own insurance carrier (Hourly Insurance Company, AZ) and in 2025 rebuilt its payroll rails on Check after outgrowing Gusto Embedded, signalling a maturing embedded-finance infrastructure.
Hourly discloses U.S. Bank as its banking provider, with SouthState Bank, N.A., Heritage Bank of Kentucky and Wells Fargo Bank, N.A. as its sponsor banks, according to the Embedded Finance Index 2026.
Hourly does not disclose a bank charter of its own; its banking services are provided through SouthState Bank, N.A., Heritage Bank of Kentucky and Wells Fargo Bank, N.A..
Hourly moves money over ACH.
Hourly connects to bank accounts through Plaid.
Hourly's payroll is powered by Check.
Hourly's embedded insurance is provided by Hourly Insurance Company (in-house).
The Embedded Finance Index 2026 maps 8 layers in Hourly's stack: Money movement (ACH); Banking / BaaS (U.S. Bank); Card issuing (U.S. Bank); Card network (Visa); Payroll (Check); Insurance (Hourly Insurance Company (in-house)); Open banking (Plaid); Sponsor bank (SouthState Bank, N.A., Heritage Bank of Kentucky and Wells Fargo Bank, N.A.).
Hourly was founded by Tom Sagi and Shay Litvak and is founded in 2018, headquartered in Palo Alto, California, USA.
Hourly has raised ~$34.2M in total (latest round: Series A, 2022).
Get a read on where your own stack stands against Hourly and the rest of its category — what they built versus bought, which providers they use, and where the gaps in your own strategy and competitive set actually are.