i have a daycare center and i want to pay my employees monthly.will i be able to do so.?

Answer 1

yes

Answer 2

You may pay for whichever pay period you wish...daily, weekly, biweekly, monthly...however, stipulate this clearly both during interview and under employment contract agreement otherwise you will have someone stating they didn't know this is how they'd be paid.

Further, keep in mind that those whom you hire will have to either have the ability to survive on zero dollars for the period of time you require be held back from them upon initial employment. Many employers pay bi weekly with two weeks held back and one week paid in the initial few weeks of employment so that there is a severance pay when the employee leaves. Basically you are ensuring that the final two weeks notice they give upon leaving is paid from the amount you first held back.

You have to determine whether you will withold 2 weeks and given them only 2 weeks pay to see them through the following month til payday again. Very few people from my knowledge go this route. It makes it easier for the employer and book keeping if they don't want to do or pay for doing books every 2 weeks, but it makes for disgruntled employees sooner and employees who find out they simply cannot manage.

This further opens you up to employees coming to you with their complaint that they can't make it in for lack of gas, bus or other funding and then you have to be prepared to set the rules upfront of no advances which kicks you in the foot anyway.

You might strongly consider bi weekly or bi monthly (15th/30th etc) but monthly is in my professional opinion an option only to be used in very specific absolute employment cases. For instance where you have a live in Nanny...this type of schedule would work but where people are required to take care of housing, food, and families...this scenario usually creates a high employee turnover rate. That then leads to financial problems for the owner because when a financial institution is approached for expansion of the business perhaps, the high rate of employee change over is a red flag that the business is in jeopardy of being unable to acquire the help necessary to keep it viable at some point.

All variables concerned, personally, I would have to recommend this not be the schedule you use, unless you are very well established and your employees are too. Then only if all employees are brought into the change eyes wide open and with the ability to have input about it. They then have to ensure that they have minimum one months salary set aside at all times in order for this to work correctly, smoothly and well for everyone.

Now...that all said, you can do what you wish here and if it is more important for the business to be on a monthly pay schedule, as long as you are prepared to deal with the ripple effect and most possible scenario that you will lose a minimum of 1 employee for every 4 who accept...as long as the outcome justifies the change and you are prepared for the compensations that will be required...then hopefully it will work out fine for you.

Good luck

Answer 3

Sure you will be able to. Just let you employees know ahead of time.

Most of the people are used to getting paid weekly, so it might be tough.