What Happens When Payday Falls on a Saturday?

Find out what happens when your company's payday falls on a Saturday or Sunday and how to coordinate proper practice.

What Happens When Payday Falls on a Saturday?

If you usually pay your employees twice a month and the payday falls on a Saturday, you should consider paying them the Friday before their normal payday. Similarly, if the payday falls on a Sunday, you should pay them the following Monday. State law dictates how statutory holidays should be treated when they fall on a Saturday or Sunday. For example, in Washington, if the legal holiday falls on a Saturday, the Friday before that Saturday is the legal holiday.

It is important to have a consistent practice for when the payday falls on a weekend. Usually, if payday falls on a Saturday, consider paying your employees on Friday beforehand. If the payday is Sunday, pay it the following Monday. There is no requirement for timely payment of wages if a payday falls on a weekend or holiday.

For employers who are subject to the requirement to make semi-annual salary payments, if the first or fifteenth of the month occurs on a day that is not a working day, the last preceding business day will be the payday for all staff who receive a payment at one location. Your deposit will be deposited into your account on Monday. If an employee's payday falls on a Monday, their direct deposit will be posted on Monday morning. If you plan to deposit checks on the weekend, employees will not be able to access payments.

When paydays don't systematically fall on a weekday, which usually happens with semiannual and monthly payrolls, payday can occur on a Saturday. However, if the payday is less than five days after the employee's last day of work, the employer must pay on the next payday or 20 days after the employee's last working day, whichever comes first. It is essential to coordinate proper practice when payday falls on a weekend.