NA Typical paycheck waiting time

Let'sgoflying!

Let'sgoflying!

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Dave Taylor
Hourly staff, in Texas, small business.
What is a typical or accepted waiting time, from end of pay period to receipt of direct deposit into employees' bank accounts?

Intuit (Quickbooks) needs 48 hours (business days, not weekends or holidays) from the time of my entries to process the transaction and make the deposit.
End of pay period is Fri 5:00pm, I do payroll on the weekend to be completed by Monday 8:00, employees get deposit in their accounts on Wed pm.

Industry standards or regulations?
 
Never paid too much attention, but yeah, 2 days sounds about right
 
At my work - for us hourly interns - timesheets are due Monday by 10:00AM Money in account Friday. (bi-weekly)
 
hmmm, I get paid once a year and when I deposit the check they make me wait a week for it to clear
 
DD takes 2 business days as an employer to turn in payroll and have it be on time. They take the amount for the checks out of the employers account the day before payroll. Taxes get taken out of the employers account a few days later.
 
I don't do DD here anymore (current crew prefers being handed their check). But when I did, it was 2-ish days from the day I pushed the go button for it to show up in the accounts.
 
Everywhere I've ever worked your paid for your previous two weeks and on the week you get paid any corrections are in by monday deposit shows up thursday night.
 
Well, my current employer, pay period closes Saturday, DD hits on Thursday. Had a previous employer on monthly pay frequency for salaried, and DD would hit on the 26th, before close of pay period.
 
I think 48 hours is pretty quick. Anywhere I have ever worked has been about 5 days to a week behind. Currently, pay period ends on a Sunday, and the check hits the bank sometime in the wee hours of Friday morning. I only know the part about the wee hours because someone told me. I don't check my bank's website at 4am. :eek2:
 
Our work week is Wednesday to Wednesday, payroll and direct deposit is done on Thursday and money is in the bank on Friday.
 
I get paid every 10th and 25th of the month, if it falls on a weekend or holiday then I get it on the previous Friday. Have worked all kinds, paid weekly, bi weekly, monthly. I don't get to spend it anyway so i care very little when or what gets paid.
 
oh, btw. My single most important goal for my future as small biz owner is to be able to "X" the box as in the following document:
 

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At the airline, payday was every other Friday for the pay period ending the previous Sunday.

At my last job, pay periods were the 1st thru the 15th and the 15th thru the end of the month, and payday was the 10th and 25th. So payday was about 10 days following the pay period.
 
Oddly enough, while Texas law dictates that you must pay non-exempt employees (assume they all are for this conversation) at least twice a month, and that if they are paid twice per month, that the pay periods must be "as nearly possible" to an equal number of days, the law does not specify what duration between the end of a work period and the payment of wages is allowable.

As others have noted, it is customary to have a lag time between close of pay period and tender of wages of around a week. Payment by Wednesday (in the bank) for the week ending Friday sounds pretty reasonable.

Enjoy your reading: http://www.statutes.legis.state.tx.us/Docs/LA/htm/LA.61.htm

A couple of other gems that often trap the unwary employer:

1. Never withhold any money (other than statutory stuff like taxes and state-ordered garnishments), for any reason, without the employee's signed written agreement (you caught 'em stealing, red-handed? Too bad, cannot withhold).

2. If you do not designate what the paydays are, then they're deemed by law to be the first and fifteenth.

3. You're supposed to conspicuously post a notice of when the paydays are.

---

Ain't it great being the rich employer dude?
 
Let'sgoflying! said:
Hourly staff, in Texas, small business.
What is a typical or accepted waiting time, from end of pay period to receipt of direct deposit into employees' bank accounts?

Intuit (Quickbooks) needs 48 hours (business days, not weekends or holidays) from the time of my entries to process the transaction and make the deposit.
End of pay period is Fri 5:00pm, I do payroll on the weekend to be completed by Monday 8:00, employees get deposit in their accounts on Wed pm.

Industry standards or regulations?
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Reasonable... I work in healthcare, and just about every employer I've had does pay periods that start Sunday, end Saturday. Payroll cutoff is 10am on monday. Prealert for direct deposit typically hits around midnight to 1 am on Wednesday morning with one major employer and same time on Thursday with another major employer. Some banks will let the customer access their money on the prealert notification.... So depending on the employer or the bank, payroll monday results in funds available anywheres from wednesday to saturday of the same week.

I'm not aware of the relevant regulations on the matter.
 
Note that, in general, "payday" laws are state-specific.

Of course, overtime, etc., is the subject of the federal law (FLSA).
 
I use Intuit with the same 48hr requirement. I offer the staff a paper check the day after pay period ends, but they prefer DD (lines of credit and overdraft protection is often limited to accounts with DD). Look at your sates law. Some places mandate timely paychecks.
 
I'm salary and paid twice a month. It's either the 1st &15th or the 1st & 30th, I can never remember. If either of those days falls on a weekend or a holiday (or February) then it is deposited the Friday prior.

That doesn't answer your question but from previous jobs what you've posted is perfectly reasonable. A lot of my past positions had bi-weekly pay that occurred on a Friday when the pay period actually ended on the Sunday prior. So about a 4 day lag. That allows for corrections to be made to timeslips and all the accounting/banking needs. I never had any issues with that.
 
SCCutler said:
1. Never withhold any money (other than statutory stuff like taxes and state-ordered garnishments), for any reason, without the employee's signed written agreement (you caught 'em stealing, red-handed? Too bad, cannot withhold).
Click to expand...

Curiosity kills the cat: Can that one be negated in an employment contract? Seems like the easy way to go to not be annoyed by that one.
 
Large company. Pay week is Sat to following Fri night. 2 week pay periods.
Close out Fri night, all corrections final by Mon noon. Direct Deposit on Thurs.

If the Monday after a two week pay period is a Holiday, then pay is in the bank on Friday.

Company uses ADP, all employees file electronic time cards on computer.
 
SCCutler said:
You're supposed to conspicuously post a notice of when the paydays are.
Click to expand...
It's not too much down the road before that poster with all of the state and Fed mandatory stuff is going to to be the only thing I need to cover every square inch of wall surface in my office. That thing is bigger than the combined Farrah Fawcet, Knight Rider, and Frodo Lives posters I had on my wall as a kid.
 
AggieMike88 said:
It's not too much down the road before that poster with all of the state and Fed mandatory stuff is going to to be the only thing I need to cover every square inch of wall surface in my office. That thing is bigger than the combined Farrah Fawcet, Knight Rider, and Frodo Lives posters I had on my wall as a kid.
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We dedicated an entire wall of the break room to the mandatory postings that amount to essentially, "BS". Never seen a single person standing there and reading any of it, either.

It's probably best described as an exhibit of modern lawyer/politician artwork, I think.

Archaeologists will think we were really organized though, someday.
 
Our pay period ends at Saturday midnight, manager has to have it approved by Tuesday midnight, DD usually hits at 1:30am Friday morning. I'm usually up then.
 
The companies I have worked at all paid in arrears. Basically you got paid 1 week after a pay period (roughly) for the two weeks during the pay period.
 
I've interfaced to several payroll processors (QB, BofA, Wells, and ADP to name a few) and the 48 hour processing is fairly consistent.

Most allow entry of the Pay Date and the Pay Period dates. As you've read, you can specify Pay Periods and Pay Dates separately. Not so important for salaried employees, but for hourly you might consider paying in arrears. Period ends and money hits on the first Friday after the end of the period.

Also... check those end of employment laws. Some states express it in 'the next scheduled pay OR x days" If the person ends employment in the middle of a pay period you may be responsible to pay them before the normal pay date comes around.
 
The thread got me curious. Our pay periods end on Sundays and we're paid by a week later on Monday early AM.
 
Wow, am I the only one that pays weekly two days after the pay period ends?
 
Two days seems really quick. The day after the end of the pay period would be the only day allocated to figuring out the payroll, whether it is done manually, on a computer or by a vendor. That might work with a very small company.
 
N747JB said:
Wow, am I the only one that pays weekly two days after the pay period ends?
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Weekly pay by itself is pretty rare yet alone two days after pay period end.

Most companies allow for more time for time card corrections or data entry etc...
 
hockeyrcks9901 said:
Weekly pay by itself is pretty rare yet alone two days after pay period end.

Most companies allow for more time for time card corrections or data entry etc...
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We've got 75 employees, so it's not a huge deal to get everyone paid, but I'm thinking of going to every two weeks to give he office some relief. Also thinking of making DD mandatory, we have about 15 people that still get checks!:rolleyes:
 
N747JB said:
We've got 75 employees, so it's not a huge deal to get everyone paid, but I'm thinking of going to every two weeks to give he office some relief. Also thinking of making DD mandatory, we have about 15 people that still get checks!:rolleyes:
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Dang, 75 employees! What type of business do you own in if you don't mind me asking?
 
N747JB said:
Also thinking of making DD mandatory, we have about 15 people that still get checks!:rolleyes:
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I'd be careful with that. It touches on the possibility of discrimination against someone who doesn't have a banking account, which while it's unlikely to be, just opens you up for something dumb you don't need to fight.

It's in that same category as asking if someone has a car, versus asking if they have adequate transportation to work. Thin line.
 
denverpilot said:
I'd be careful with that. It touches on the possibility of discrimination against someone who doesn't have a banking account, which while it's unlikely to be, just opens you up for something dumb you don't need to fight.

It's in that same category as asking if someone has a car, versus asking if they have adequate transportation to work. Thin line.
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Not so thin.

Banking choice is not a protected class - yet! The only risk one might suffer by making direct deposit mandatory is the loss of a potentially-valuable employee.

Of course, there may be states in which this does not apply - but I am unaware of them.
 
SCCutler said:
Not so thin.

Banking choice is not a protected class - yet! The only risk one might suffer by making direct deposit mandatory is the loss of a potentially-valuable employee.

Of course, there may be states in which this does not apply - but I am unaware of them.
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I figured there had to be some controlling State weenies *somewhere* that would call it bad, but it's pretty hard to -- not having a bank account does discriminate heavily against the homeless or bankrupt though. We see a lot of homeless folks have a horrible time searching for work in any businesses that wouldn't pay cash. Some help has come along from some groups who'll give them a way to receive their funds. (Similar problems with not having a phone number were common until pre-pay cell phones came along.)
 
denverpilot said:
I figured there had to be some controlling State weenies *somewhere* that would call it bad, but it's pretty hard to -- not having a bank account does discriminate heavily against the homeless or bankrupt though. We see a lot of homeless folks have a horrible time searching for work in any businesses that wouldn't pay cash. Some help has come along from some groups who'll give them a way to receive their funds. (Similar problems with not having a phone number were common until pre-pay cell phones came along.)
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Some organization in Portland got some shipping containers that were turned into "locker rooms" that people could use to keep their "stuff" while they were looking for work. At first the local community didn't like the idea. Thought it would attract the homeless to "their" neighborhood. It's been a great success. Not everyone who is homeless is a wino, deadbeat, whacko etc.
 
denverpilot said:
I'd be careful with that. It touches on the possibility of discrimination against someone who doesn't have a banking account, which while it's unlikely to be, just opens you up for something dumb you don't need to fight.

It's in that same category as asking if someone has a car, versus asking if they have adequate transportation to work. Thin line.
Click to expand...
It's funny most of the ones tha get checks are very stable, successful people, one just celebrated his 45th anniversary with the company! The new folks all love DD, it's the older ones that want a check! :eek:
 
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