This guide for admins explains what a pay schedule includes, your options, how to set it up, and how to change it later. Before you create a pay schedule, check your state requirements and consider paying in arrears for hourly work.
A pay schedule has three parts:
Pay period: The time your employees worked.
Pay date (payday): The date employees get paid for their work.
Start of workweek: The first day of the 7-day workweek used to calculate overtime under the Fair Labor Standards Act (FLSA).
Important:
Paydays always fall on a weekday. If a payday lands on a weekend or bank holiday, Gusto moves the check date to the prior business day.
Your direct deposit payment speed determines how many days before payday you must submit payroll. If you're ready, you can submit the payroll earlier.
By default, Gusto sets the start of the workweek to:
The first day of the pay period for weekly and biweekly schedules.
Sunday for all other schedules.
Note: In 2026, biweekly pay schedules with their first check on January 2, 2026 will have 27 paydays. This additional payday will only impact salaried employees. For additional information on how to manage 27 pay periods, see this article.
Review the state laws in the table below, then choose a pay frequency in Gusto.
Pay frequency options:
Every week: Employees are paid on the same weekday every week (52 times per year).
Example: Every Friday.
Every other week: Employees are paid on the same weekday every two weeks (26 times per year).
Example: Every other Friday.
Twice per month: Employees are paid twice a month on two set dates (24 times per year). You can also pick Twice per month and choose Custom to set your own pay periods and a different pay day for each half of the month. This works well when you need different times between work and pay day, custom start and end dates, or a mid-month start.
Example: The 15th and the last day of the month.
Monthly: Employees are paid once a month on a fixed date (12 times per year).
Example: The 26th of each month.
Quarterly: Employees are paid once every three months (four times per year).
The pay period covers the full calendar quarter.
Annually: Employees are paid once per year.
The pay period runs from January 1 to December 31.
Note: Quarterly and annual pay schedules rarely meet state pay-frequency requirements for regular employees. Most businesses that use them are sole owners paying themselves once a year, like an S corporation reasonable-compensation payroll.
Many states regulate how often and how soon after a pay period ends you must pay employees.
Use this table to confirm what your state allows and any timing rules. Some states have restrictions on monthly pay schedules, which apply only to certain worker types, such as executives or Fair Labor Standards Act (FLSA) exempt workers. Check the Key requirements column for details.
Pro Tip: Use CMD + F (Mac) or CTRL + F (Windows) to quickly find your state.
Last updated: July 21st, 2026
State
Allowed frequencies
Time between end of pay period and pay date
Key Details
Alabama
Weekly, biweekly, semimonthly, and monthly
No requirement
Resource: Alabama Department of Labor
Alaska
Weekly, biweekly, semimonthly, and monthly
No requirement
Employers must pay employees at least once per month on regularly scheduled paydays.
If an employee chooses, employers can pay semi-monthly. Employers can always pay more often.
Resource: Alaska State Legislature
Arizona
Weekly, biweekly, and semimonthly
Regular pay is due within 5 days after the pay period ends.
Overtime pay or exception pay is due within 16 days after the pay period ends.
Employers must pay employees at least twice per month, no more than 16 days apart.
Resource: Arizona State Legislature
Arkansas
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
No requirement
Corporations with an annual gross income of $500,000 or more can use the monthly pay schedule for management-level employees who are exempt from overtime and earn more than $25,000 per year.
Resource: Arkansas State Statute 11-4-401
California
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Weekly or bi-weekly: Pay is due within 7 workdays after the pay period ends.
Semi-monthly: Wages earned from the 1st – 15th of the month are due by the 26th of the same month
Wages earned from the 16th – 31st are due by the 10th of the following month
Monthly: Pay is due by the 26th of the same month.
Wages must be paid twice during each calendar month on the days set in advance as regular paydays.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Wages must be paid twice during each calendar month on the days set in advance as regular paydays.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Resource: California Department of Industrial Relations
Colorado
Weekly, biweekly, semimonthly, and monthly.
Pay is due within 10 days after the pay period ends.
Wages must be paid at least once per month.
Resource: Colorado Wage Act
Connecticut
Weekly and biweekly. Semimonthly and monthly, depending on key details.
Pay is due within 8 days after the pay period ends.
Employers must pay employees at least bi-weekly on a regular payday set in advance, within 8 days after the pay period ends.
If the regular payday falls on a nonwork day, wages must be paid on the preceding workday.
Longer pay frequency intervals, up to monthly, can be allowed if approved by the Labor Commissioner.
Resource: Connecticut General Assembly
Delaware
Weekly, biweekly, semimonthly, and monthly
Pay is due within 7 days after the pay period ends.
Employers must pay wages at least once per month, within 7 days after the pay period ends.
Resource: Delaware Department of Labor
District of Columbia
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Pay is due within 10 days after the pay period ends.
Non-exempt employees must be paid at least twice per month.
Administrative, executive, and professional employees must be paid at least once per month.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Resource: Council of DC
Florida
Weekly, biweekly, semimonthly, and monthly
No requirement
Florida doesn't have any laws dictating when or how often an employer must pay employees their wages.
Resource: Florida Department of Labor
Georgia
Weekly, biweekly, and semimonthly
No requirement
Georgia law requires workers to be paid at least twice per month.
Resource: Georgia Statute 34-7-2
Hawaii
Weekly, biweekly, and semimonthly. Generally not, monthly, but exceptions may apply. See Key Details.
Pay is due within 7 days after the pay period ends.
If approved by the Hawaii DOL, the pay date can be up to 15 days after the pay period ends.
Every employer must pay wages to all employees at least twice during each calendar month, on regular paydays set in advance by the employer.
Monthly pay schedules can be used if:
The majority of employees in a collective bargaining unit elect for a monthly payment in a secret ballot
The employer submitted an application to the HI DOL and received approval
Resource: Hawaii Wage Standards Division
Idaho
Weekly, biweekly, semimonthly, and monthly
Pay is due within 15 days after the pay period ends.
All employees must be paid at least once per month, within 15 days after the pay period ends.
Resource: Idaho Legislature
Illinois
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Weekly: Pay is due within 7 days after the pay period ends.
Bi-weekly or semi-monthly: Pay is due within 13 days after the pay period ends.
Monthly: Pay is due by the 21st day of the same month.
Employees must be paid at least twice per month.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Exceptions can be allowed for commission payments or certain employee types.
Resource: Illinois Department of Labor
Indiana
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Pay is due within 10 days after the pay period ends.
Employers must pay most employees their wages at least twice per month. Employers must pay all wages earned within 10 days after the pay period ends.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Exceptions can apply for certain employee types.
Resource: Indiana Statute 22-4-5
Iowa
Weekly, biweekly, semimonthly, and monthly
Pay is due within 12 days after the pay period ends (excluding Sundays and holidays).
Iowa law (Chapter 91A) requires employers to pay workers in full within 12 days after the pay period ends, excluding Sundays and legal holidays.
The payroll period must be set in advance, can't be longer than monthly, and must be at consistent intervals.
Resource: Iowa Labor Center
Kansas
Weekly, biweekly, semimonthly, and monthly
Pay is due within 15 days after the pay period ends.
Employers must pay employees at least once per month, on regular paydays, and inform employees of paydays in advance.
Resource: Kansas Department of Labor
Kentucky
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Pay is due within 18 days after the pay period ends.
Employers must pay employees at least semi-monthly.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) are allowed to be paid monthly.
Exceptions may apply for certain employee types—contact the agency directly to get approval for a monthly pay schedule.
Resource: Kentucky General Assembly
Louisiana
Weekly, biweekly, and semimonthly
Pay is due by the end of the following pay period.
Employers must pay most hourly employees at least bi-weekly or semi-monthly via a regular payday.
Resource: Louisiana Legislature
Maine
Weekly, biweekly, and semimonthly
Pay is due within 8 days after the pay period ends.
Employers must pay employees at least every 16 days.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Resource: Maine Legislature
Maryland
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
No requirement
Employers must pay employees every two weeks or twice per month.
Executive, professional, and administrative employees can be paid less frequently.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Resource: Maryland Department of Labor
Massachusetts
Weekly and biweekly. Semimonthly and monthly, depending on key details.
Pay is due within 6 days after the pay period ends.
Hourly employees must be paid on a weekly or bi-weekly basis, within 6 days after the pay period ends.
Employers can pay exempt and salaried non-exempt employees weekly, bi-weekly, or semi-monthly.
Employers can pay monthly at the employee's request, or if they're agricultural employees.
Resource: Commonwealth of Massachusetts
Michigan
Weekly, biweekly, semimonthly, and monthly
Weekly or bi-weekly: Pay is due within 14 days after the pay period ends.
Semi-monthly: Wages earned from the 1st – 15th of the month are due by the 1st day of the following month.
Wages earned from the 16th – 31st are due by the 15th of the following month.
Monthly: Pay is due within 15 days after the pay period ends.
Resource: Michigan Legislature
Minnesota
Weekly, biweekly, semimonthly, and monthly
Unless paid earlier, wages earned during the first half of the first 31-day pay period are due on the first regular payday following the first day of work.
Employers must pay all wages, including salary, earnings, and gratuities earned by an employee at least once every 31 days. All commissions earned by an employee must be paid at least once every three months. Wages must be paid on a regular payday set in advance by the employer, regardless of whether the employee requests payment at longer intervals.
Resource: Minnesota Legislature
Mississippi
Weekly, biweekly, and semimonthly
Manufacturing and public labor companies must pay their employees within 10 days after the pay period ends.
Public service corporations must pay their employees within 15 days after the pay period ends.
Mississippi doesn't have laws dictating how often to pay employees.
Exception: If your company is engaged in manufacturing and has 50 or more employees, or if you're a public labor or public service corporation, then you must pay your employees at least bi-weekly or semi-monthly, or on the second and fourth Saturday of every month.
Resource: Mississippi Code 71-1-35
Missouri
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Pay is due within 16 days after the pay period ends.
Executive, administrative, or professional employees, salespersons, and employees on commission can be paid monthly.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Resource: Revisor of Missouri
Montana
Weekly, biweekly, semimonthly, and monthly
Pay is due within 10 days after the pay period ends.
Employers must establish a regular pay schedule and pay wages within 10 days after the pay period ends.
Resource: Montana Department of Labor and Industry
Nebraska
Weekly, biweekly, semimonthly, and monthly
No requirement
Employers must establish regular paydays on which employees receive their paycheck.
Employers must give employees 30 days notice of any change in the payday.
Resource: Nebraska Statute 48-1230
Nevada
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Semi-monthly: Wages earned from the 1st – 15th of the month are due by the end of the current month.
Wages earned from the 16th – 31st are due by the 15th of the following month.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
A monthly payday is also allowed for executive, administrative, and professional personnel.
Resource: Nevada Department of Business and Industry
New Hampshire
Weekly, biweekly, and semimonthly. Monthly, with written permission. See Key Details.
Weekly: Pay is due within 8 days after the pay period ends.
Bi-weekly: Pay is due within 15 days after the pay period ends.
Weekly or bi-weekly payment of wages is required.
Semi-monthly or monthly payment of wages is available with written permission from the NHDOL.
Resource: New Hampshire Department of Labor
New Jersey
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Pay is due within 10 days after the pay period ends.
Monthly paydays are allowed only for exempt executive, administrative, and professional personnel.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Resource: New Jersey Department of Labor and Workforce
New Mexico
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Semi-monthly: Wages earned from the 1st – 15th of the month are due by the 25th day of the current month (or the last day of the month if payroll originates out of state).
Wages earned from the 16th – 31st are due by the 10th of the following month (or the 15th day if payroll originates out of state).
Monthly: Pay is due by the 10th day of the following month.
Only exempt executive, administrative, and professional personnel can be paid monthly. Penalties are imposed for violations.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Resource: New Mexico Statute 50-4-2
New York
Weekly and biweekly. Semimonthly, depending on key details.
Most employers must pay employees at least semi-monthly on regular paydays set in advance by employers.
New York State Labor Law requires manual workers to be paid weekly, and clerical and other workers at least twice per month.
Review the link to the right for more information about pay frequencies.
Resource: New York Senate
North Carolina
Weekly, biweekly, semimonthly, and monthly
No requirement
Resource: North Carolina Legislature 95-25.6
North Dakota
Weekly, biweekly, semimonthly, and monthly
No requirement
Employers must pay employees at least once per month on a set payday set by the employer.
Resource: North Dakota Code
Ohio
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Semi-monthly: Wages earned from the 1st – 15th of the month are due by the 1st day of the following month.
Wages earned from the 16th – 31st are due by the 15th of the following month.
Payment at shorter or longer intervals is allowed when it's customary or when it has been established by written contract or law.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Resource: Ohio Laws and Administrative Rules
Oklahoma
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Pay is due within 11 days after the pay period ends.
Every employee must be paid all wages due at least twice each calendar month.
State, county, municipal, and overtime exempt employees can be paid at least once each calendar month (monthly).
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) can be paid monthly.
Resource: Oklahoma Labor Department Wage and Hour FAQ
Oregon
Weekly, biweekly, semimonthly, and monthly
No requirement
Employers must pay you on a regular payday schedule.
Paydays cannot be more than 35 days apart.
Resource: Oregon Labor and Industries
Pennsylvania
Weekly, biweekly, and semimonthly
Pay is due within 15 days after the pay period ends.
Resource: Pennsylvania Statute 43.260.3
Rhode Island
Weekly. Biweekly, semimonthly, and monthly, depending on key details.
Pay is due within 9 days after the pay period ends.
Every employee must be paid weekly for all wages due from an employer.
Exceptions: Employees whose compensation is fixed at a bi-weekly, semi-monthly, monthly, or yearly rate, and employees working for the state and its political subdivisions and of religious, literary, or charitable corporations.
Resource: Rhode Island Labor Relations
South Carolina
Weekly, biweekly, semimonthly, and monthly
No requirement
Resource: South Carolina Legislature
South Dakota
Weekly, biweekly, semimonthly, and monthly
No requirement
Employers must pay all wages due at least once each calendar month.
Resource: South Dakota Legislature
Tennessee
Weekly, biweekly, semimonthly, and monthly
Semi-monthly: All compensation earned and unpaid before the 1st day of any month must be paid by the 20th day of the month following the one in which the wages were earned.
All compensation earned and unpaid before the 16th day of any month must be paid by the 5th day of the following month
Monthly: Pay is due within 5 days after the pay period ends.
Employers must pay at least monthly.
Resource: Tennessee Department of Labor and Workforce Development
Texas
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Employers must set paydays. If an employer fails to set paydays, the employer's paydays are the 1st and 15th day of each month.
Employees exempt from the overtime provisions of the federal Fair Labor Standards Act (FLSA) must be paid at least once per month (monthly). Other employees must be paid at least twice a month.
Semi-monthly pay periods must contain, as nearly as possible, an equal number of days.
Resource: Texas Workforce Commission
Utah
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Pay is due within 10 days after the pay period ends.
Employees on a yearly salary can be paid monthly.
Resource: Utah Payment of Wages
Vermont
Weekly. Biweekly and semimonthly with written consent. See Key Details.
Pay is due within 6 days after the pay period ends.
Employers must pay employees weekly.
However, after providing written notice to employees, employers can issue paychecks bi-weekly or semi-monthly.
Resource: Vermont Department of Labor
Virginia
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
No requirement
Employees exempt from overtime must be paid at least once a month (monthly). Hourly employees must be paid at least once every two weeks or twice a month.
Resource: Code of Virginia
Washington
Weekly, biweekly, semimonthly, and monthly
Pay is due within 10 days after the pay period ends.
Employers must pay wages at least once per month on a regular payday.
Resource: Washington State Legislature
West Virginia
Weekly, biweekly, and semimonthly
Pay is due within 19 days after the pay period ends.
Employers must pay wages at least twice every month on regular paydays.
Resource: West Virginia Division of Labor
Wisconsin
Weekly, biweekly, and semimonthly. Monthly, depending on key details.
Pay is due within 31 days after the pay period ends.
With limited exceptions, employers must pay wages at least monthly.
The only employers exempt from this requirement can be found by clicking the Wage Payment and Collection Law link to the right.
Resource: Wisconsin Wage Payment and Collection Law
Wyoming
Weekly and biweekly. Semimonthly, depending on key details.
Semi-monthly: Wages earned from the 1st – 15th of the month are due by the 1st day of the following month
Wages earned from the 16th – 31st are due by the 15th of the following month
Wyoming doesn't have laws governing how often an employer must pay its employees.
Certain occupations aren't allowed to pay employees monthly. Review the resource to the right for more info.
Resource: Wyoming Workforce FAQ
Here's how default and recommended pay schedules work.
When you set up payroll, we recommend a default pay schedule for you. You can accept it or change it. Recommendations are based on the types of employees you pay.
Every account starts with a default pay schedule.
“Paying in arrears” means there’s a gap between the end of the pay period and the pay date. This is common for hourly workers, so you have time to collect hours and run payroll.
For example, if employees work January 1 through 7 and get paid January 13, this is paying in arrears.
Here are our recommendations, based on who you pay.
A default pay schedule makes sure every employee has a pay schedule. If you forget to assign an employee, we place them on the default schedule.
How the default pay schedule works
You cannot delete it. It exists so every employee always has a pay schedule.
You can hide it when two things are true: No one is on it, and you have more than one pay schedule. Hiding only changes what you see — it does not delete the schedule.
It comes back on its own: This can happen when an employee does not qualify for any other pay schedule. New hires may be added to the default schedule automatically.
We can bring it back for you. If you hid your default and want it back without assigning anyone to it, contact us from the (?) in your account.
A hidden default with no employees will not create pay periods.
You can only assign employees one at a time. Group assignment is not available for the default schedule.
How to see who is on the default schedule
To view employees on your default pay schedule, follow these steps.
Go to Pay.
Click Settings.
Look under Pay Schedules.
Having an employee under the default pay schedule will repopulate payroll notifications.
We recommend Every other week (best with hourly members).
Why:
Common for hourly teams
Lets you pay in arrears
Gives time to review hours
We recommend Twice per month (best for salaried).
Why:
Fixed calendar dates (like 1st & 15th)
Predictable paydays
We recommend Every other week (best with hourly members).
Why:
Simple
Predictable
For any recommendation, you can edit:
Pay frequency
Pay dates
First pay period
You can update schedules later, but most businesses do best with one simple schedule to avoid mistakes or late payroll. To learn more about what schedule might work best for your team, check out our blog post.
We recommend a pay schedule based on who you’re paying, and you can change it anytime. You need to create at least one pay schedule to get started.
Reminders
Confirm state requirements and consider paying in arrears for hourly work.
If payday falls on a weekend or holiday, we pay employees on the business day before. We always pay employees on a weekday, whether by direct deposit or
check.
Note: If you add a second schedule after you onboard (creating multiple pay schedules), we label your original schedule as Default.
To add a pay schedule after you've onboarded, follow these steps.
Go to Pay.
Click Settings (top right).
Find Pay Schedule, then click Add.
Choose how to assign employees:
By overtime eligibility:
Eligible for overtime (typically hourly)
Not eligible for overtime (typically salaried)
By individual (after onboarding)
By department (Departments must be turned on; employees need to be assigned to them)
Click Continue.
If you select employees from multiple groups, see How mixed group selections work (AND / OR logic) below for details on how we match employees.
To complete the schedule details, follow these steps.
Enter a clear name for the schedule. Examples:
Hourly Pay Schedule
Retail Hourly Schedule
Pick the pay frequency. We suggest a frequency based on the employees selected. Common options: Every other week (best with hourly members) or Twice per month (best for salaried).
If you pick Twice per month and choose Custom, see Set up a custom semimonthly pay schedule below before you move on.
Enter the First pay date on new schedule. This is the first paycheck the employee will receive on this pay schedule.
Enter the Pay period start on new schedule.
Choose a day from the Start of workweek dropdown. Align it with your pay period for accurate overtime calculations.
Click Preview upcoming paydays (right side of page) to see your schedule.
Click Continue.
Review your schedule carefully, then click Confirm.
Click Back to payroll settings to check your work. From there, you can also turn on Payroll on AutoPilot if you want.
Note: You may need a transition payroll to cover any gap between schedules. We'll show this on your Home page.
We use both AND and OR logic when assigning groups.
If employees are missing from the schedule, check the group selections and review this logic.
Example:
Hourly: Overtime eligible
Department: Sales
Employees must meet BOTH conditions to be added to the pay schedule.
So: If some Sales employees are salaried and not overtime eligible, they will NOT be added.
Example:
Department: Sales
Department: Engineering
Employees in either department are included on the pay schedule.
Example:
Department: Sales + Engineering
Hourly: Overtime eligible
We apply:
OR within departments
AND across group types
To set your own pay periods and a different pay day for each half of the month, choose Custom after you pick Twice per month in step 2 above, then follow these steps.
Under First pay period, enter:
Period start day: The day your first pay period starts
Period end day: The last day of the period (pay periods are usually 14–17 days)
Pay day for this period: The day employees get paid
We fill in your Second pay period for you, based on the first — so your schedule stays the same month to month. The period start and end days are ready to go. Just pick the Pay day for this period. If the pay day falls in the next month, choose a date marked "(of the following month)."
Then return to step 3 above to finish setting up your schedule.
Here are examples of what you can set up with custom semi-monthly schedules:
Example 1 — Different time between work and pay day
Period 1: 1st–15th, paid on the 26th (same month)
Period 2: 16th–last day of month, paid on the 10th (next month)
Example 2 — Custom start and end dates
Period 1: 11th–25th, paid on the 1st (next month)
Period 2: 26th–10th, paid on the 15th (same month)
Example 3 — Mid-month start
Period 1: 6th–20th, paid on the 1st (next month)
Period 2: 21st–5th, paid on the 15th (same month)
Note: Paydays always fall on a business day. If a payday lands on a weekend or holiday, we move it to the business day before.
For more details, see Payroll on AutoPilot.
To turn on Payroll on AutoPilot for a pay schedule, follow these steps.
Go to Pay → Settings.
Find the schedule.
Click Edit next to Payroll on AutoPilot.
Adjust the settings as needed.
Save your changes.
When you create a pay schedule, choose how to assign employees.
All options work with Gusto Time Tracking and Project Tracking.
Create separate schedules for:
Hourly employees
Salaried employees
Note: Employees marked “Salary / Eligible for Overtime” will appear on the hourly schedule.
Assign employees one by one.
Use this option if schedules depend on:
Location
Owner status
This option is available after onboarding.
To assign schedules by department, follow these steps.
Assign employees to departments.
To preview your pay schedule in Gusto, follow these steps.
Go to Pay.
At the top-right, click Settings.
Under Pay Schedule, click Preview upcoming paydays to view future pay periods and pay dates.
Use the top-right toggle to switch between list and calendar views.
(Optional) Sync payroll reminders to your personal calendar.
To change your pay schedule or pay period, follow these steps.
Go to Pay.
At the top-right, click Settings.
Next to the title of the pay schedule you want to change, click Edit.
Choose the schedule name, pay frequency, first pay date on the new schedule, pay period start on the new schedule, and start of workweek. What you select determines if some or all of these fields apply.
We may show you pay schedule recommendations based on what we know about your company and team.
Under the calendar preview, click Preview upcoming paydays to view pay periods and paydays for the entire calendar year.
Review the next payroll deadline and payment speed, and read any reminders.
Click Save.
Gusto automatically creates a transition payroll if there is a gap between the old and new schedules. You need to process or skip it from your Home page before you can run the next regular payroll.
Gusto automatically creates a transition payroll when you change your pay schedule, to cover any gap in working days between your old and new schedule. You need to process or skip this transition payroll before you can run your next regular payroll — see Run a regular payroll for the steps.
Here's what happens with transition payrolls:
Taxes: We use the new Regular schedule’s tax rules. Tax amounts can change when you switch periods (for example, monthly to semimonthly). Recurring income tax overrides set by an accountant do not apply to transition payrolls. Only one-time overrides apply.
Benefits: We do not deduct Gusto-managed benefits during transition payrolls, but external benefit deductions continue. If you use Gusto-managed benefits, contact our Support team to confirm deductions on the new schedule.
Payments: We automatically prorate salaried employees for actual days worked.
Time Tracking: Time entries do not sync for transition payrolls.
PTO: Paid time off does accrue for transition payrolls.
If you skipped a transition payroll but still need to pay the employee, run an off-cycle payroll.
To see who is on a schedule, follow these steps.
Go to Pay → Settings.
Look under Pay Schedules.
Review the list of active employees on each schedule.
To see all employees, click View or + to expand the list.
To change an employee's pay schedule, follow these steps.
Go to Pay → Settings.
In Pay Schedules, find the schedule.
Click Manage.
Click Manage employees.
Select the employee.
Choose the first pay date on the new schedule. Review:
First pay period start
Workweek start
Click Continue.
Review and click Confirm when ready. Click Edit to change any details.
Workweeks drive overtime calculations over a 7-day period. This setting does not change how often or when you pay.
Gusto sets these defaults for the start of the workweek:
For weekly and biweekly schedules, the start of the workweek is the first day of the pay period.
For other schedules, the start of the workweek is Sunday.
Note:
You can change the start of the workweek only a limited number of times to protect accurate overtime pay. After a change, you need to wait for a full workweek to begin before changing it again.
If you use Gusto Time Tracking, changes begin with the next pay period. The current period still uses the old setting.
To change your start of the workweek, follow these steps.
Go to Pay.
At the top-right, click Settings.
In the Pay Schedule section, next to pay schedule name, click Edit.
Pick the new start day and click Save.
The default pay schedule. It cannot be deleted. If you hid it and want it back, see How the default pay schedule works above.
A schedule with no one left after everyone was dismissed. If you have more than two schedules and dismiss the last employee on one of them, you cannot delete that schedule. Our Support team cannot delete it either.
Set up at least one other pay schedule.
Move all employees off the schedule you want to delete.
To remove a pay schedule, follow these steps.
Go to Pay.
At the top right, click Settings.
Next to Employees on the pay schedule you want to delete, click Edit.
Use the dropdown to move each employee to a different pay schedule, or create a new one.
Click Continue.
Review the changes and click Submit.
After you move all employees off, click Delete next to the pay schedule name.
Read the confirmation. Deleting removes the schedule from your payroll settings, and you cannot assign employees to it later.
Click Yes, delete schedule.
Q: Do paydays ever fall on weekends or holidays?
A: No. Gusto moves paydays that land on weekends or bank holidays to the prior business day.
Q: What is paying in arrears?
A: You pay after the pay period ends, giving time to collect hours and process payroll. This is common for hourly teams.
Q: Which pay frequencies can I choose?
A: You can pay every week, every other week, twice per month, or monthly. Quarterly and annually are also options, but they rarely meet state pay-frequency rules for regular employees—they're typically limited to sole owners paying themselves once a year. Check your state rules before you choose.
Q: Where do I find my state’s rules?
A: Use the state table in this article. It lists allowed frequencies, timing rules, and links to state resources.
Q: What is a transition payroll?
A: It fills the gap when you change schedules. Taxes follow the new schedule, Gusto-managed benefits do not deduct, time tracking does not sync, and PTO still accrues.
Q: Can I change the start of the workweek?
A: Yes. You can change the start of the workweek but only a limited number of times. Changes apply to future periods and help ensure correct overtime.
Q: Can I assign different teams to different schedules?
A: Yes. You can assign by overtime eligibility, individual, or department. If assigning by department, you need to turn on Departments first.