ADP’s payroll calendar is your guide to pay periods in 2020. It clearly notes the processing week number and all federal holidays, so you can plan your payroll accordingly – whether it’s a biweekly pay schedule, semimonthly or another frequency.
How many pay periods are in a year?
There can be as many as 52 pay periods in a year or as few as 12. The number is ultimately determined by the employer unless the workplace or the employees are in a state that has specific payday requirements. It’s important for business owners to strike a balance between the cost of running payroll and the financial needs of their staff.
Weekly pay results in 52 pay periods per year and is commonly used by employers who have hourly workers.
Employees receive 26 paychecks per year with a biweekly pay schedule. Depending on the calendar year, there are sometimes 27 pay periods, which can increase payroll costs. Both hourly and salaried employees may receive biweekly pay.
Employers who choose this schedule can either pay their employees on the first and 15th of the month or on the 16th and last day of the month. Semimonthly pay has 24 pay periods and is most often used with salaried workers.
Many employers choose to work with a payroll service provider to help automate paying their employees.