How do I choose the right pay frequency for my employees? Consider these three factors:
Consistency rules - You must maintain a consistent pay frequency. You cannot change an employee's pay frequency when you feel like it. States determine what pay frequencies you can and can't use. Most states set a minimum frequency you must follow.
Your industry - The industry you operate in can determine your pay frequency. Certain industries tend to pay weekly, while others pay monthly.
How you run payroll - If you run payroll by hand, shorter pay frequencies require more payroll runs, which take more time and energy.
Whatever route you choose with your business, just be sure you have a clear and consistent payment schedule to ensure fairness and adherence to labor laws and employee expectations. A lack of structure around paychecks could throw off budgeting and financial planning processes or put a business at risk of legal issues for possible labor law violations.
#payroll #frequency #paysmartsc
Activist | Community Organiser | Student of Social Science and Psychology
1moAll components of compensation, including accrued leave balances, should be readily visible to employees and the play slip is a great place for that information to be made readily available. The fact employees have to ask about their balances or navigate a labyrinthian intranet site to figure it out is pretty poor.