The United States Federal Reserve Bank observes eleven national holidays throughout the calendar year where banks are closed, and therefore no money movement occurs on those dates. This means the payroll timeline for check dates that fall on or near a banking holiday will be adjusted. This potential impact will differ depending on the processing timeline set up for your business through Homebase Payroll. The examples below illustrate the impact the MLK holiday on January 19, 2022 would do to your submission deadline:
4-day processing:
- Companies on a 4-day processing timeline for Monday the 17th will need to adjust their check date to Friday the 14th and can still process on Tuesday the 11th.
- NOTE: Companies on a 4-day processing timeline for Friday the 14th will have until Tuesday the 11th to process payroll instead of Monday the 10th.
- Companies on a 4-day processing timeline for Tuesday the 18th will need to process on Wednesday the 12th.
- Companies on a 4-day processing timeline for Wednesday the 19th can still process on Thursday the 13th.
- Companies on a 4-day processing timeline for Thursday the 20th can still process on Friday the 14th.
- Companies on a 4-day processing timeline for Friday the 21st will need to process on Tuesday the 18th.
2-day processing:
- Companies on a 2-day processing timeline for Monday the 17th will need to adjust their check date to Friday the 14th and will need to be approved Wednesday the 12th.
- NOTE: Both the check date and processing date are moved a business day earlier.
- Companies on a 2-day processing timeline for Tuesday the 18th will need to approve on Thursday the 13th.
- NOTE: This is a day earlier than normal processing.
- Companies on a 2-day processing timeline for Wednesday the 19th will need to approve on Friday the 14th.
- NOTE: This is a day earlier than normal processing.
If you miss this approval window, you can run a late payroll and choose to keep the same payday but pay team members manually with a paper check, or pay through direct deposit and update the payday to the next available date.