Let us understand what exactly a pay schedule means. A pay schedule is nothing but the dates on which salary is paid from an employer to an employee. A pay schedule is a combination of two pieces information, your pay period and your pay date.
The pay period is nothing but the time frame during which the employee has worked.
The pay date is the day on which the employees receive their salaries
If there is a delay between the pay period and the pay day, then the employer has to make the payment in arrears.
Four types of pay schedules are
- Weekly – Payment of salary is made to the employee on a weekly. The payment will be made on a specific day of the week. A person who is paid on a weekly basis will be given 52 payrolls in a year.
- Bi-weekly – In this type of pay schedule, the payment is made to the employee every two weeks on a specific day of the week. A person receiving a bi-weekly payroll receives 26 payrolls a year.
- Semi-monthly – Pay checks are received by the employees twice a month on two specific dates. A person under this type of payroll schedule gets 24 payrolls a year. Example a person gets paid on the 15th and the last day of every month.
Monthly – An employee gets paid on a specific day of every month. 12 payrolls will be received by the employees who fall under this type of pay schedule in a year.