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What is cashless catering and how can it benefit schools?

Cashless catering makes it easier for families to pay for school meals, as well as reducing the administration involved in collecting dinner money for school and canteen staff. It can be more difficult for the education sector to adapt to technology compared to other industries, and while cashless payments have been commonplace in everyday life for years, the process of digital transformation within schools happens at a slower pace.

This guide explores how cashless catering can benefit schools, some of the common barriers to implementing cashless payment systems within an educational institution, and how to overcome them.

What is cashless catering? 

Cashless catering is a technology that allows consumers to pay for food and beverages without cash. It is a pre-pay system primarily used in canteens, but has also been successfully implemented at music festivals and events.

Within an educational setting, cashless catering  removes the need for children to be sent to school with cash or bank cards to pay for school meals. Unlike contactless card payments which are commonplace in retail environments, cashless catering within schools usually works more like an online money transfer service such as PayPal. Money is sent by parents or guardians from an online portal and children are able to redeem their meals without needing to carry any physical form of payment, be it cash or card.

How does cashless catering for schools work?

Cashless catering software is easy to set-up and is installed like any other programme onto the school’s cloud server. Being cloud based makes it convenient for school staff and parents to login without having to install a programme on devices both at home and within schools. Some cashless catering portals exist as standalone platforms while others are embedded within parent engagement software, which manage every element of a parent or guardian’s relationship with the school, including parents evening bookings and school communications.

Essentially, cashless catering gives parents the ability to log on to the software from anywhere and add credit to their children’s account. This can be done on an ad hoc basis or by scheduling a regular payments to keep the account topped up to a certain level. Software is available on both mobile apps and desktop computers, and some platforms have the added convenience of accepting payment from PayPoint locations. In most cases, once card details are submitted, parents only need to login and amend this if there is a change to be made. There is no need for parents to arrange direct debits or standing orders, it’s all done via the portal and is as easy as shopping for anything online.  

Once up and running, depending on the functionality of the software, the way cashless catering systems are used between schools can vary. At the most basic level, a child will visit a catering location at school and be able to pay for food with whatever balance is on their account. Unique identifiers are used to link accounts to pupils, be it a student’s name, roll number or ID badge which they present at the till to pay for whatever has been purchased.

Further functionality of cashless catering software includes a link to a school’s food and beverage system so families can pre-select school meals for children ahead of time. This is good for those who have allergies or special dietary needs and gives parents reassurance that their children are eating well away from home. It also cuts down on food waste and allows canteen staff to accurately order stock.

The principle of a cashless system can go beyond catering. Some systems can support a variety of monetary transactions taking place between schools and parents, such as paying for school trips, clubs and school uniform.

Streamline the number of resources you need by investing in one sophisticated platform

What is the value of cashless catering in schools?

The prospect of change can be daunting for any organisation, not least in schools where staff are time poor and budgets tight. However, there can be significant benefits of adopting cashless catering in schools, which can often outweigh the challenges.

Top benefits of cashless catering in schools

Financial transparency

Linked up to finance and budgeting systems, a cashless catering solution centralises all monetary transactions enabling schools and trust to monitor their cashflow more effectively. Payment history, refunds and manual transactions can all be easily identified and use of reporting tools improves financial transparency. It’s also easier to manage parent accounts that are in debt.

More time for value-added tasks

Implementing a cashless catering system saves the many hours spent by school staff chasing, collecting, reconciling and banking cash as well as managing spreadsheets or additional documents involved in monetary transactions. Increasing efficiency means more time available for strategic tasks that add value to your school.

Less waste

Cashless catering systems help move schools toward being paperless. Cash receipts become a thing of the past and the numerous forms associated with any school trip or club can now be sent as a notification within cashless systems. Cashless catering software can also integrate with canteen inventory systems allowing food pre-orders which cut down on food waste.

Improved parent engagement

A robust online payment solution gives schools the chance to meet their parent’s expectations. Many other daily activities, from ordering groceries to banking have transformed and by incorporating this into your school’s system, you’ll offer the experience they expect. Parents can log into the portal, check transaction history and raise queries with a few clicks of a mouse – their time is freed up for more important activities related to their children’s education.

Healthier diet and mind

Cashless schools promote healthy lifestyles – less money onsite means less opportunity for students to purchase junk food. Students also become less of a target for bullies if they’re not carrying money around the playground. Parents are afforded peace of mind knowing their children’s dietary needs are being met

Implementing cashless catering in your school: Key considerations

Understandably there are challenges when considering any new software and it can be difficult to justify the long term gains when costs are being scrutinised. However, with the right preparation and communication between stakeholders, any obstacles can quickly be overcome. Think about the following:

1. Initial financial outlay

It can be difficult for schools and trusts to justify spending additional budget on any sort of new software with funding cuts being commonplace within the education sector. Assess the efficiency of any cash collecting methods and consider how much time staff spend administrating this. Build a business case covering the potential savings that could be made by using a cashless catering system. Speak to other schools as references to gain buy in from senior leadership teams.

2. Get the right support

When choosing a cashless catering software provider ask about the aftersales and support package. Teachers and school staff are busy people and will need a quick solution if things go wrong. Ask your provider if there is a dedicated support team. Is implementation free or is this an additional cost on top of the package? Make sure there aren’t any hidden or additional fees which could be a nasty surprise further down the line.

3. Prepare for launch and training

With so many stakeholders involved in a child’s education, it’s important that any new software a school adapts is properly launched with appropriate training for teachers and parents completed. An investment in a cashless catering system is only worthwhile if everyone is going to reap the benefits. Ensure the school is agreed on a cashless strategy, start raising awareness with parents early and encourage them to get onboard with cashless incentives. .

What is the best cashless catering system for your school?

The best cashless catering system for one school will differ from one that works best for another. There are many payment solution providers on the market, so it’s important to consider your school’s specific challenges and how they can be met.

If your school outsources its catering, it’s worth speaking to the suppliers about what systems they work with. Also the needs of an independent school will differ greatly from a state secondary school and primary schools may be entirely different again. Do the research and consider systems which are education specific to ensure maximum uptake across your institution. 

What next?

Our parent engagement and communication software, My School Portal is a one stop shop for parent engagement. Offering cashless payments for school dinners, clubs and more My School Portal also centralises school communications and works as a parents evening booking system.

Learn more about school payments system

Our comprehensive guide to payment systems will help you identify the most appropriate and cost effective platform for your school.

Becoming cashless saves schools money and has the potential to increase takings and reduce debt – find out how in our guide on cashless schools.

Strengthen parent relationships with the all-in-one parent engagement software