Biweekly Pay

Meaning & Definition

The term biweekly pay means that an employee receives his or her paycheck once every two weeks. This means there are usually 26 total pay periods in a year. For biweekly paying employees, their salaries or wages are determined based on how many hours they worked over the course of 14 days (or two weeks). Hourly and salaried employees generally receive biweekly pay.

Significance of Biweekly Pay

• It provides employees with a stable and consistent source of income.
• Simplifies the payroll process and also simplifies how payroll, overtime, and other deductions are calculated.
• Allows for greater efficiency in tracking employee overtime and attendance.
• Allows for better planning of both employer and employee cash flow.
• Reduces the potential for payroll errors, as opposed to the irregular pay schedule used by some employers.

Governance and Policy Alignment

This term does not have an associated statutory requirement.

Biweekly pay practices for employers must comply with the following:

• Payroll and Wage Payment Policies.
• Employment Contracts and Salary Structures.

Attendance, Time, Overtime Calculation Rules. Employers should ensure that they pay their employees’ wages on a timely basis according to their policies and internal processes.

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