Pay Schedules, Records and Multi-State Obligations (2026)

Quick answer

There is no single national payday rule. How often you must pay employees is set by state law, and the states differ widely. The U.S. Department of Labor's state payday summary shows California requiring wages at least twice per calendar month on days designated in advance, Colorado requiring monthly pay, and Connecticut requiring weekly pay unless the labor commissioner approves a longer interval.

The four standard schedules are weekly, biweekly (every other week), semimonthly (twice a month) and monthly. For most small teams, biweekly or semimonthly is the practical choice, as long as it meets or beats the rule in every state where you have employees. The DOL itself says individuals should consult the relevant state labor office for official information, so treat any summary, including this one, as a starting point.

How often should you run payroll?

Run payroll at least as often as your state requires, on a fixed and predictable schedule. Above that legal floor, the choice is yours. It is a trade-off between what employees expect, how time is tracked, and how much administrative work you want to take on each month.

The common mistake is assuming federal law sets a standard frequency. The DOL maintains a state-by-state payday table precisely because the states set it, and the differences are not cosmetic. A schedule that is perfectly legal in Colorado would fall short in Connecticut.

The DOL's own caveat matters as much as the table. Its page is a summary, and it tells readers to consult the relevant state labor office for official information. A state's rule can carry details that a one-line summary leaves out.

What are the standard pay schedules?

Weekly

Weekly payroll means the most runs and the most administrative work, but hourly employees see their pay quickly and every pay period is the same length. In Connecticut, weekly is the default under the DOL's summary, so a Connecticut employer starts here unless the labor commissioner has approved something longer.

Biweekly

Biweekly payroll lands on the same weekday every other week, and every pay period covers the same 14 days. Because 26 paydays do not divide evenly into 12 months, two months each year have three paydays, and some calendar years contain 27 paydays.

That extra payday is worth planning for. If salaried pay is set by dividing an annual salary by 26, a 27-payday year pays out more than the annual figure. Cash flow also needs a cushion in three-payday months.

Semimonthly

Semimonthly payroll pays on two fixed dates each month. It lines up neatly with monthly bookkeeping and monthly bills, and salaried employees receive the same amount every check. The catch is that pay periods vary in length from month to month, so hourly time has to be split across period boundaries that do not fall on the same weekday.

Fixed dates also need a rule for weekends and holidays, set in advance, such as paying on the preceding business day. Twice a month matches the frequency the DOL describes for California, but California's rule also covers which days are designated, so confirm the details with the state before settling on dates.

Monthly

Monthly payroll has the fewest runs, but employees wait the longest for their money. It is only an option where state law permits it. Colorado's rule in the DOL summary is monthly, while California's and Connecticut's would rule it out for most employees.

What do state payday rules look like in practice?

The three states in the DOL summary show the range. California requires pay at least twice per calendar month on days designated in advance. Colorado requires monthly pay. Connecticut requires weekly pay unless a longer interval is approved by the labor commissioner.

Those are three of many, and they illustrate a pattern rather than a complete rulebook. The working method is simple: find the rule at the state labor office for each state where you employ people, choose a schedule at least that frequent, and record the schedule and paydays in writing. Then tell employees before the first run.

How should a small team choose a schedule?

Start with the legal floor. The state rule decides the minimum frequency, and nothing else on this list overrides it.

Then match the schedule to the team. Hourly workforces often fit weekly or biweekly pay, because every period is the same length and starts on the same weekday. Salaried teams often prefer semimonthly, because the same amount arrives on the same dates each month.

Cash flow is the third factor. More frequent payroll means smaller, more frequent withdrawals, while monthly payroll concentrates the outflow into one large draw. Either way, the money has to be in the business account before payday, and a separate business account makes that easier to see.

Administrative load is the fourth. Every run involves approving hours, checking pay changes and funding the payroll. Before committing to a provider, ask whether its plan limits the number of pay schedules or off-cycle runs.

Finally, pick a schedule you can keep. Switching schedules midyear produces awkward short or long transition periods, and employees notice. Some employers run hourly staff biweekly and salaried staff semimonthly, which works but doubles the calendar to manage, and each schedule still has to meet the state rule.

How does your pay schedule affect Form W-4 changes?

The IRS says to ask all new employees for a signed Form W-4 when they start work and to make it effective with the first wage payment. A W-4 remains in effect until the employee gives you a new one. When a replacement arrives, withholding under it must begin no later than the start of the first payroll period ending on or after the 30th day from the date you received it.

That means your pay schedule decides which payroll a replacement W-4 lands in, because the deadline is tied to where your pay periods end. Period end dates on a weekly schedule fall very differently from those on a semimonthly one. Note the date each replacement W-4 is received so the change can be applied in time.

Who belongs on the payroll schedule?

Employees, not contractors

Payroll is for employees. Independent contractors are paid on whatever terms the contract sets. The line between the two is not a label or a contract: the IRS weighs behavioral control, financial control and the type of relationship.

In the IRS's words, "There is no 'magic' or set number of factors that 'makes' the worker an employee or an independent contractor and no one factor stands alone in making this determination." Getting it wrong is expensive. An employer who classifies an employee as an independent contractor without a reasonable basis may be held liable for employment taxes for that worker, and while Form SS-8 asks the IRS to make the determination, the IRS says it may take at least six months to receive one.

S corporation owners

If you run an S corporation, the owner may belong on the schedule too. The IRS says S corporations must pay reasonable compensation to a shareholder-employee for services provided before non-wage distributions may be made. It also has the authority to reclassify payments made as distributions into wages, so an owner who works in the business should be on payroll like anyone else.

What do you need before the first payday?

The paperwork starts before the schedule does. The IRS says all U.S. employers must properly complete Form I-9 for every individual they hire for employment in the United States. Each new employee should give you a signed Form W-4 when they start work, and you need the employee's name and Social Security number to enter on Form W-2.

Underneath all of it sits the EIN. ZenBusiness states on its ADP partnership page that you cannot run payroll without an EIN. If the business is not formed yet, or is formed but has no EIN, the order is entity first, EIN second, business bank account third, and payroll after that.

This is where a pay schedule question often turns out to be a setup question. As of October 6, 2026, ZenBusiness sells the EIN at $99 on its own and includes it from the Pro plan up. For payroll itself, ZenBusiness refers customers to RUN Powered by ADP: a customer requests the connection from the ZenBusiness dashboard, and an ADP representative follows up to discuss employee count and pay schedule before quoting.

The scope of that arrangement matters. ADP is a separate service with its own platform, billing and support, and day-to-day payroll and tax filings happen in ADP's system, not in the ZenBusiness dashboard. ZenBusiness customers may be eligible for promotional pricing, but eligibility is not guaranteed, offers are confirmed in the consultation, and they generally exclude state filing fees and add-ons.

How long should you keep payroll records?

Under the FLSA, the DOL's Fact Sheet #21 sets two retention periods. Payroll records are kept for at least three years. The records that wage computations are based on, including time cards and wage rate tables, are kept for two years.

A practical habit is to file each pay run as a unit: the payroll register, the timesheets behind it, any rate changes and the W-4s in effect for that period. That keeps the three-year and two-year records together and makes it easy to answer a question about any single paycheck. Keep each employee's current W-4 on file for as long as it remains in effect.

The FLSA periods are not a complete retention policy. Tax records and state law can carry their own requirements, so check with your state and your tax adviser before discarding anything.

What changes when employees are in more than one state?

Hire someone who works in another state, and that state's payday rule enters the picture. The simplest approach is one schedule that satisfies the strictest rule among your states. An employer with staff in Colorado and Connecticut, for example, would look at Connecticut's weekly requirement before Colorado's monthly one, unless the Connecticut labor commissioner has approved a longer interval.

Payday is only the first item. Each new state can bring its own employer registrations, its own tax accounts and its own rules on benefits such as workers' compensation, which is set by state law and differs sharply. The authority in each case is that state's own labor and revenue agencies.

Multi-state coverage can also change what payroll software costs. As of October 6, 2026, SurePayroll publishes its multi-state add-on at $9.99 a month; for other providers, ask directly. Keep records organized by state as well as by pay run, so a question from any one state's agency can be answered from one folder.

Payroll providers and what they cost

The providers below are listed alphabetically, and the order is not a ranking. Each price was checked at the provider's own pricing page on the date given, and prices change. Whichever you consider, ask which pay schedules it supports, whether it can run more than one, and what it charges for employees in additional states.

ADP

As of October 6, 2026, ADP does not publish payroll pricing and quotes per business. Its RUN Powered by ADP product is built for businesses with 1 to 49 employees. Best for: a business that is comfortable with a quoted price and wants an established payroll provider.

Gusto

As of October 6, 2026, Gusto publishes three tiers: Simple at $49 a month plus $6 per person, Plus at $80 a month plus $12, and Premium at $180 a month plus $22. Best for: a small team that wants a published, tiered price to plan against as it grows.

OnPay

As of October 6, 2026, OnPay charges $49 a month plus $6 per worker, and its pricing page quotes a starting price of $55 a month. Best for: a team that wants a simple base-plus-per-worker price.

Patriot Software

As of October 6, 2026, Patriot Software offers Basic Payroll at $17 a month plus $4 per employee and Full Service at $37 a month plus $5. At the very bottom end, it is the cheapest published payroll price on this page. Best for: a budget-first business that only needs payroll.

QuickBooks Payroll

As of October 6, 2026, QuickBooks Payroll lists Workforce Payroll + Simple Start at $88 a month plus $6.50 per employee, Workforce Payroll + Essentials at $125 a month plus $6.50, and Workforce Premium + Plus at $203 a month plus $10. Those are the ongoing prices. A promotional rate of 50% off the base for three months is also offered, and it is not the ongoing price.

Best for: a business that wants one of the QuickBooks plans named in these bundles alongside payroll.

Rippling

As of October 6, 2026, Rippling does not publish pricing. Its pricing page is a quote request form. Best for: a growing team prepared to go through a sales quote.

SurePayroll

As of October 6, 2026, SurePayroll starts at $29 a month plus $7 per worker. Its multi-state add-on is $9.99 a month, and household payroll starts at $39 a month. Best for: a small team with workers in more than one state that wants the multi-state cost spelled out up front.

ZenBusiness

ZenBusiness does not run payroll itself. It houses formation, the registered agent, the EIN, bookkeeping and a website, and routes payroll to ADP, which quotes it separately. As of October 6, 2026, Starter is $0 plus state fees, Pro is $199 and Premium is $299, with Pro and Premium renewing at those annual prices; the EIN and operating agreement are included from Pro up and are $99 each on Starter.

Also as of October 6, 2026, the registered agent is $199 a year, Money Pro bookkeeping is $30 a month, and the website is $129 a year. None of those figures is the cost of payroll. Payroll is ADP's service, on ADP's platform, quoted by ADP per business, and not included in any ZenBusiness plan.

Best for: someone who has not formed the business or has no EIN yet and wants setup in one place, with payroll handled by a partner.

Provider prices at a glance

Listed alphabetically, as of October 6, 2026.

This is general information, not legal, tax or accounting advice, and payroll requirements vary by state and change over time.