A typical payroll schedule includes disbursing wages to workers each two weeks. This association leads to 26 pay durations over the course of a yr. For salaried workers, the annual wage is usually divided by 26 to find out the gross pay for every pay interval. For hourly workers, the pay is calculated primarily based on the variety of hours labored inside the two-week timeframe, multiplied by their hourly charge.
This pay frequency affords benefits for each employers and workers. It permits for extra constant budgeting for workers, as they obtain revenue extra often than with month-to-month pay schedules. For employers, it may streamline payroll processing in comparison with weekly schedules, whereas nonetheless offering workers with comparatively frequent entry to their earnings. Traditionally, this pay construction grew to become prevalent as companies sought a stability between the executive burden of frequent payroll and the worker need for normal revenue.
