Changes in Pay Frequency

Changes in Pay Frequency happen when an employee changes from an FLSA status of Exempt to Non-Exempt status, or vice versa. It is important to pay attention to the timing of your pay frequency so that you can be sure to plan ahead for expenses related to the changes.

When Changing from Monthly to Biweekly Pay

Pay Frequency

• Biweekly paid employees will receive 26 (and occasionally 27) paychecks in a year, whereas monthly paid employees receive 12 paychecks in a year.
• Paydays will occur every other week, on Wednesdays unless adjusted for holidays.
• It is important for employees who are changing pay cycles to examine the timing of expenses and pay, and to take action if a shortage in cash flow income is identified.

Timing of Payroll Deductions

• Health benefits and other fixed amount deductions will be split in half and deducted from 24 biweekly paychecks. The other paychecks are called “benefits holidays”. When there are three pay period end dates (timesheet submittal due dates) in the same calendar month, the paycheck for that third period will be a “benefits holiday”. These typically occur twice a year, though occasionally there can be three in a year depending on how the calendar dates and weeks align.
• Percentage based deductions will be taken from every paycheck.

When Changing from Biweekly to Monthly Pay

Pay Frequency

• Monthly paid employees will receive 12 paycheks in a year, whereas biweekly paid employees receive 26 paychecks in a year.
• Paydays will occur every month, on or around the first of each month.
• It is important for UCSC Employees who are moving to the monthly pay cycle to examine the timing of expenses and pay, and to take action if a shortage in cash flow income is identified.

Timing of Payroll Deductions

• Monthly health benefit and other fixed amount deductions will be taken out in full from each paycheck.
• Percentage based deductions will be taken from every paycheck.