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Biweekly payroll: how it works and how to set it up

Paying every other week is the most common schedule for small teams. Here’s how it works, and the overtime and calendar details that trip people up.

Shanin Drucquer

Shanin DrucquerUpdated September 2026

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  1. Step 1 of 7 · 3 min

    Pick your pay period and payday

    Biweekly means paying every other week on the same weekday, which works out to 26 paydays a year. Pick a two-week pay period, like Sunday through the second Saturday, and a payday that follows it, like Friday.

    Pay schedule

    Biweekly

    How often

    Every other week

    Pay period

    Sun, Sep 27 – Sat, Oct 10

    Payday

    Friday, October 16

    Save and continue

    Screens are recreated with example data.

  2. Step 2 of 7 · 2 min

    Leave a gap before payday

    For hourly people, leave at least four business days between the end of the pay period and payday. That gives you time to collect final hours and submit payroll before your provider’s deadline.

    Watch out

    If the pay period ends after your payroll deadline, the last days’ hours won’t make it into that paycheck.

  3. Step 3 of 7 · 2 min

    Convert salaries to a per-paycheck amount

    Divide the annual salary by 26. A $52,000 salary is $2,000 every two weeks. Payroll software does this for you once you enter the annual amount.

    In years with 27 paydays, decide ahead of time whether salaried people get a 27th check or a slightly smaller check all year.

    Salary per paycheck

    Biweekly

    Annual salary
    $52,000.00
    Paychecks per year
    26
    Gross per paycheck
    $2,000.00

  4. Step 4 of 7 · 3 min

    Count overtime by the week, not the pay period

    Under federal law, overtime is owed for hours over 40 in a single workweek. You can’t average across the two weeks: 50 hours in week one and 30 in week two is 80 hours total, but 10 of them are overtime.

    Watch out

    Entering 80 regular hours for that pay period would underpay overtime. Record hours by week, or let time tracking split them for you.

    Overtime, Ana P.

    Two-week pay period

    • Week 1 · 50 hrs10 hrs overtime
    • Week 2 · 30 hrs0 hrs overtime
    • Pay period · 80 hrs10 hrs overtime

  5. Step 5 of 7 · 1 min

    Plan for months with three paydays

    With 26 paydays, two months each year get three. If you pay every other Friday starting January 2, 2026, that’s January and July. Plan cash for those months, and check any deductions set up per paycheck rather than per month.

    2026 paydays

    Every other Friday

    • JanuaryJan 2, 16, 30
    • FebruaryFeb 13, 27
    • JulyJul 3, 17, 31
    • Total for the year26 paydays

  6. Step 6 of 7 · 2 min

    Check your state’s pay frequency rules

    States set how often employees must be paid, and biweekly meets most of them. Some require weekly pay for certain workers. New York, for example, generally requires weekly pay for manual workers. Check your state before you commit.

  7. Step 7 of 7 · 2 min

    Set it up in your payroll software

    In Gusto, choose Every other week when you set your pay schedule and pick your first payday. You can add a second schedule later, for example biweekly for your hourly crew and twice a month for salaried staff. Every plan includes unlimited payrolls, so running more often doesn’t cost more.

    If you’re setting up payroll for the first time, Gusto walks you through the schedule during setup.

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Common questions

How does biweekly payroll work?

You pay employees every other week on the same weekday, usually 26 times a year. Each paycheck covers the two-week pay period that ended a few days before payday.

Is biweekly the same as twice a month?

No. Biweekly is every two weeks, which is 26 paychecks a year. Twice a month, or semimonthly, is 24 paychecks on set dates like the 15th and the last day of the month.

Will there be an extra biweekly paycheck in 2026?

Only if your first payday of the year is January 1, which in 2026 means a Thursday payday. Every-other-Thursday schedules starting January 1, 2026 have 27 paydays; every-other-Friday schedules starting January 2 have 26. In 2027, Friday schedules starting January 1 get 27.

What salary is $2,000 biweekly?

$52,000 a year: $2,000 times 26 paychecks.

Is biweekly or weekly payroll better?

Biweekly means half as many payroll runs. Weekly can suit hourly crews who expect a check every Friday, and some states require it for certain workers. With Gusto, every plan includes unlimited payrolls, so the choice doesn’t change your bill.

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