Square Payroll Payment Schedule
We know payroll predictability is important to you and your employees. Read below for more information on Square Payroll’s payment schedule, including tips to ensure your employees receive their pay on time, every time.
Square Payroll Pay Dates
Square Payroll offers four pay period schedules: monthly, weekly, semi-monthly (2 pay periods per month), and bi-weekly (every two weeks). You can edit your pay period by visiting Payroll > Payroll Settings in your online Square Dashboard.
Pay dates with a traditional bank account
Employee pay day is five business days after the end of the pay period. Employees who are paid by direct deposit will receive their pay on this date, provided payroll is processed on time. You can find the pay date for the current pay run in the top left corner of the Run Payroll screen of your online Square Dashboard.
You can also set up Automatic Payroll to ensure your employees get paid on time, with minimal effort on your part.
Send Pay Through Square Payroll
You must submit payroll by 8 PM Pacific Time on the business day following the end of your pay period (4 business days in advance of pay day) to pay employees on time.
For example, if your employees are to be paid on Friday and your pay period ends on the Sunday prior you must submit payroll by 8 PM PDT on Monday for your employees to receive their funds on pay day. If you do not process payroll on time, your employees’ pay will be delayed.
Note: These requirements do not apply to employers that use the Instant Pay feature to process payroll.
Late Pay Runs
If you run your payroll after 8 PM PT on the first business day after the end of the pay period, employees will receive pay four business days after you process payroll.
If you send payroll on the first business day after the end of your pay period after 8 PM PT, employees will receive their pay on the next business day after their pay date.
For off-cycle payments, employees will receive pay four business days after you submit the off-cycle payment.
Square Payroll Holiday Pay Outs
Direct deposits do not process on federal banking holidays. Pay dates through Square Payroll are only affected by holidays if you are paying contractors (Form 1099-MISC). If you are paying employees (Form W-2) your due dates and pay dates will not be impacted by holidays.
Contractor payments: If a holiday occurs on the pay date or between the day payroll is run and the pay date, you will need to submit your contractor payment one day early (except Saturday) to avoid pay delays. For example, if the intended pay date is Friday, you will need to submit the contractor payment before Sunday at 8 PM PT, instead of Monday.
Employee payrolls: There is no need to submit payroll early for employees. Your employees will be paid on their expected pay date or if the pay date itself is scheduled on a holiday, the pay date will be one business day earlier.
In select states, eligible W-2 employees can be given the option to access a portion of their wages faster with on-demand pay. Employees can choose to access a portion of their earnings before their usual pay date by sending their funds to a linked debit card for a fee of 1% the amount of the wages accessed or for free to Cash App. When your employees clock out, they will receive an email with a summary of their hours worked and wages earned for that shift and along with the amount of funds they are able to access on-demand.
Read the on-demand pay FAQ for additional information.