August 15, 2018
As a small business owner, the method and timing of how you pay your employees can significantly affect the financial strength of your company in its early stages. This especially true when cash flow is unpredictable. At the same time, you should consider your employees’ needs, as their ability to budget typically depends on a consistent pay schedule. Although the Bureau of Labor Statistics reports that over two-thirds of private businesses operate under bi-weekly or weekly pay periods, no single solution is right for all small businesses. Whether you pay your employees weekly, bi-weekly, semi-monthly, or monthly, first consider how several factors unique to your business may impact or be impacted by your decision.