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Ask Marilyn: Is This Pay Policy Fair?
L.M.D. in Folsom, California, writes:
Marilyn: I am on salary and paid weekly. The payroll period ends on Saturday, and the company paid via direct deposit on the following Tuesday. Then they changed the deposit day to Wednesdays, and now they've changed it to Thursdays. However, the pay is always the same. Shouldn?t they pay for an extra day on the week they postpone the deposit day? Is the company saving a days' pay from everyone each time they change the day of the week to a day later than they were paying previously?
In a way, the company does save money by postponing the day it pays its employees. But a company that pays as quickly as yours does is an exception, and you can be happy about that. Nearly all companies pay "in arrears," meaning for a pay period that has passed by one or more days or a week or even two. State laws on this subject vary, but payment one or two weeks in arrears is extremely common. Companies need the time to get the paperwork done, and that entails a mountain of details.
So no, they shouldn't pay for an extra day. That would be like postponing the end of the payroll period by a day, which would defeat the purpose of postponing the deposit day.