How Often Must I Pay Employees?

April 13, 2006

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While there are no federal laws that require you to pay employees at regular intervals, most state laws mandate that every employer must pay all wages due to employees on regular paydays designated in advance by the employer.

Many states also regulate how much of a holdback you can take. For example, if you pay employees every Friday for the work they performed through the preceding Friday, you're holding over pay for one week.

When must overtime be paid? The general rule under the federal wage and hours law is that overtime compensation earned in a particular workweek must be paid on the regular pay day for the period in which such workweek ends. If, for some reason, you're unable to determine the correct amount of overtime pay until after the regular pay period ends, you're required to pay the employee as soon after the regular pay period as is practicable.

You should know what state requirement you're subject to before you establish a pay period for your payroll program. Click on your state on the map below to find out your state's rules, if any, about how often you must pay employees, and how much of a holdback you can take: