Getting paid once a week comes with its own set of advantages, both as an employee and an employer. Now, we’ll walk you through the pluses of a weekly payroll if you’re an employer:
Easier to set up a schedule
Cutting paychecks for your employees on the same day simplifies your payroll and schedule. If you pay your employees on, say, every Friday, there’s no question on when to process payment for your workers.
If you process payroll biweekly or monthly, you’ll have to administer payroll on different days. For example, if your payroll dates are the 1st and 15th, in one month, the paydays might land on a Tuesday and Thursday. In the next month, the 1st and 15th might fall on a Wednesday and Friday.
Consistent submission and payout dates
A weekly schedule means your employees submit their clocked hours and get paid the same day each week. This means less confusion among your hires on when they need to send their timesheets and when HR must process payroll.
Unnecessary to prorate pay periods for new hires
Another perk of paying your employees weekly is that paychecks for new hires usually need to be prorated. In other words, if a new employee’s start date is in the middle of a pay period, you’ll need to do the math and figure out how much they’ll get paid. This means more work for you and your HR team.
If you’re operating on a weekly payroll schedule, you can sync up new hires to the existing schedule without extra hassle or calculations. That’s because new employees often start on a Monday.
This might come as no surprise, but employees prefer to get paid as soon as possible. A recent nationwide survey reveals that over 60% of working Americans prefer same-day pay.²
You’ll make your employees happier if you pay your employees weekly versus biweekly or monthly. And happier employees tend to be more invested in your company, are more productive, and stick around longer. ³
In fact, recent Gallup research finds that actively disengaged employees are 42% more likely than their engaged peers to be on the lookout for new job opportunities.⁴