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What Will Happen If Payday Falls on a Holiday?

It is very reasonable to wonder what would happen if payday falls on a holiday or a weekend. If this thought has crossed your mind, then this article is for you!
So What Exactly Happens When Payday Falls on a Holiday/Weekend?
In the event that payday falls on a holiday or weekend, then the typical procedure would be to pay employees the day before the holiday. However, it is not always so simple. There are different factors that could affect payments running on time, and there is also the issue of bank holidays. So, to avoid this, it is advisable to have a backup plan, such as getting payroll software or outsourcing your payroll.
What Happens If the Holiday Is a Bank Holiday?
If payday falls on a holiday, and the holiday in question is a bank holiday, then here are some solutions that payroll professionals recommend considering. You could either run your payroll process earlier by paying a fee so staff can get paid before the bank holiday. You also have the option of putting off the payroll process so that you can simply pay your staff the day following the bank holiday. Another option is running the payroll process as you usually would, and your employees will get paid after the holiday is over.
Each of these options has its pros and cons. That is why you will need to choose what is best for the business overall. It is good to stay consistent with whatever way you choose though. That way, your HR dept. and your staff will not be confused.
One last thing to keep in mind is that when you change the payroll date, your processing deadlines may be affected. You will need to make sure that you stay up to date when it comes to these deadlines; you will also need to let your staff know about any changes you make. If you have outsourced your payroll functions with a PEO, you should let them know of these changes as well.
Helpful Payroll Tips
Regardless of whether payday falls on a holiday or not, here is a list of useful tips to help make your payroll process much smoother.
- Tip number one: Documenting everything
Save all reports with correct numbers and dates and do not wait more than you should to update them.
- Tip number two: Consistency
As mentioned above, it is very important to stay consistent to avoid confusion in the payment process. This is very important if payday falls on a holiday.
- Tip number three: Futureproofing and planning ahead
There are many ways to futureproof and plan ahead when it comes to payroll. One of these ways is outsourcing your payroll.
- Tip number four: Outsourcing your payroll
Since you are documenting everything, there will definitely be much fewer mistakes. Still, it can be very hard to do all of this manually. For this reason, we would recommend you outsource your payroll. If you do decide to outsource your payroll, the amount of work your HR staff and accounting staff, as well as management, have to do will noticeably decrease. If you are not comfortable with another third-party business (like a PEO) taking care of your payroll, however, you will always have the option of getting payroll software!
- Tip number five: Get good payroll software
This is probably the most important step you could take, as there are so many benefits to getting payroll software. Payroll software can do so much for businesses, not just payroll-related tasks! There are so many options for payroll software systems out there. The secret to making your payroll run smooth and easy is choosing a good service provider.
Payroll software is definitely a safety net for most businesses. They have many solutions; the software can take care of so many tasks, including the following:
- Calculating payroll and deductions quicker
- Creating accurate payslips
- Calculating bonuses and expenses effortlessly
- Ensuring compliance
- Storing data securely on a cloud-based system
- Automating many tasks (like year-end reporting)
- Taking care of tax regulations
- And more!
For these reasons, many businesses turn to payroll software these days. If you are interested in getting a payroll software system for your business, then keep reading to see our list of recommended solutions.
Recommended Payroll Software Systems
Since we have explained what happens if payday falls on a holiday and that payroll software is one of the best solutions to the predicament this causes, we will now look at a couple of the best payroll software solutions that have all of the key features that were mentioned above. Here is our list of recommendations for top-quality payroll software:
Paychex Payroll

Paychex is our top suggestion for businesses that are looking for payroll software. It can offer businesses great, inclusive solutions and features, such as automated payroll procedures, tax calculations, and more. In addition to this, it will also provide the following:
- Time tracking software
- Employee Benefits Admin
- Reporting and Analytics
- Employee Screening
- Learning Management System
- Employee Onboarding
- Employee Handbook Builder
- Mobile App
Paychex has three options regarding subscription plans for their payroll .
- Paychex Flex Essentials - $39/month, + $5 per employee
- Paychex Flex Select – Quote-based
- Paychex Flex Pro – Quote-based
Each plan has a set of features; you will need to get in touch with Paychex’s team to get a quote for the last two plans.
Intuit QuickBooks Payroll

QuickBooks is second place on our list of suggestions. It is another excellent option that many businesses turn to when choosing payroll software to outsource with. QuickBooks can automate all of your payroll processes easily. These are some of its most notable features:
- Mobile payroll app
- Automated payroll runs
- Time tracking software
- Automated federal and state tax filing and payment
- Project management tools
- HR management solutions
- Compliancy alerts and law updates
It also connects its accounting software with its payroll subscription plans! This means that you will get both at great prices. Their plans include:
- Core + QuickBooks Simple Start - $70/month + $4/month/employee
- Core + QuickBooks Essentials - $95/month + $4/month/employee
- Premium + QuickBooks Plus - $155/month + $8/month/employee
Toast Payroll

Our third recommendation on the list is Toast payroll. Toast is focused on providing industries, mostly food-related, with their point-of-sale system.
Toast partners its payroll software with its point-of-sale system. So, the payroll software can automate your payroll runs and generate calculations, and also guarantee your business stays compliant with national and local work laws and regulations.
Regarding the subscription, you can get payroll software with these point-of-sale plans:
- Essentials Plan - $165 per month
- New Restaurant Basics - $110 /month + $4 per employee/month
- Custom Plan - Quote-based
Paycom Payroll

Last but certainly not least is Paycom. Their payroll software is a cloud-based system and is a great option that can make HR management much easier. It provides for most businesses’ needs since it is extremely accessible, and also user-friendly.
Here are the features and benefits of Paycom’s Payroll software:
- Self Service App
- Single HCM platform for all HR tasks
- Payroll management features
- No setup fees
- Human Resource management tools
- Time and labor management tools
It is a quote-based service provider, which means their prices are provided when you contact them. You can simply visit their website to request a quote.