Holiday Payroll: Preparation is Everything

Holiday payrolls can become quite a hassle without proper preparation.  Holidays not only effect payrolls with paydays on the holiday, but also payrolls that are around that holiday.  Here are a few things to consider while planning for your holiday payroll.

Shipping.  If your payroll requires shipping, make sure to get the holiday shipping schedule for your shipper.  Once you have the schedule you can plan exactly what day your payroll will need shipped for any upcoming holidays.

Direct Deposit.  Direct deposit requires an extra day to process for all banking holidays. Schedule your payrolls with this in mind so there are no late payments to your employees.  With a vast majority of Americans living paycheck to paycheck, there is nothing worse during the holidays than a late paycheck.

Holiday Pay.  Some companies offer their employees holiday pay for hours worked on certain holidays.  If you offer your employees holiday pay, be sure to budget accordingly in advance.  Not only will their paychecks be larger, but so will your tax liability.

Payday Move.  A holiday may require you to move you payday.  This is based on your companies policies.  Some will move the payday forward and some will move it backwards.  Knowing the plan in advance can help employers understand any impacts of moving the payday.

Take a small amount of time to plan out your holiday payrolls and it will save you a lot of time and stress around the holidays.

For more information on holiday payrolls contact Payroll Savvy today!

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