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Biweekly Pay

What is Biweekly Pay?

Biweekly pay or biweekly payroll system schedule are the names of the same phenomenon. This is the type of payroll whereby employees are paid salaries in accordance with the biweekly pay periods – once paid in two weeks - instead of weekly pay.  

When the business owner(s) order their HR to follow a biweekly pay schedule, it means you are paying your employees on a payday which is a day every other week.

If you choose the bi-weekly pay periods for your employees to pay, you may choose every alternate Friday or Monday. This was the employees receive 26 paychecks in 52 weeks per annum. When there is a leap year, your workers will receive an extra paycheck total of 27 paychecks a year.

There are certain other payroll systems mechanisms in vogue at the global level like weekly and monthly etc. As far as the biweekly pay structure is concerned, below you will find pros and cons for Biweekly Pay.

What are the Advantage of Biweekly Pay?

Following are the advantages of Bi-weekly Pay:

What are the Disadvantage of Biweekly Pay?

Following are the disadvantages of Bi-weekly Pay:

  This system consists of smaller checks payments as compared to the bi-monthly paychecks whereby the former has more number of checks having smaller denominations

 This system due to two extra checks per year has extra-budgetary burdens

 Additional charges may be there for processing payroll each time, therefore biweekly costs more per run as compared with the bimonthly

 Bookkeeping is more complex in a biweekly system as it needs more entries than monthly or bi-monthly payments

What is more, to know about biweekly pay is:

 Department of Education and health services

Information services

Hospitality and leisure  

Approximately 43% of the US employers pay their employees biweekly, and 33% of employers pay their workers on a weekly payroll system basis

The business concerned having a smaller number of employees pay to workers on weekly basis but as and when it improves the number of employees (say around 1000 employees) then they pay 700 workers (70%) as biweekly and the rest get weekly

Related: Wages, Basic Salary, Hourly Employee, Pay Stub, Straight Time Pay