Salary Payment

Cotta

Hi,

This may seem like a foolish question but I'm looking at a new job and the salary is being paid monthly in arrears on the 24th day of each month. What does this mean?

Southend1

It means you will be paid once a month, on the 24th of each month. The amount you are paid will be the salary for the month behind (in arrears) rather than the month ahead (in advance). This is a very common situation.

PasturesNew

It means you start work on, say, the 1st of the month and on the 24th you're paid for the whole month: from 1-24th AND 25th-31st. So 24 days "in arrears" as you've already worked that much and 7 days you haven't worked yet, in the anticipation that you will keep turning up.

You are paid once a month, on the 24th - some for the work you've done; some for the work you're about to do.

It's the norm and the normal wording they give.

getmore4less

What need to clarify is

pay period -the start/end dates of the period about to be paid
pay day - looks like the 24th

Although calendar is common it is not uncommon for the pay period to be other than start-end of a calendar month. eg 15th-14th or 24th-23rd

There will be also be another date the cut off for payroll, for things like expenses and time sheets/overtime.

agrinnall

I think it's possible that you will get paid for the previous month on the 24th, so for instance your pay for work done in May would be paid on June 24th. It's not a common way of doing it, but it's worth confirming as if it is the case you may find yourself having no pay for almost 2 months if your start date falls badly.

dancingfairy

The main possibilities I thought of was:
1) 1st - 31st of say APR, Paid 24th May or
2) 25th Apr - 23rd May, Paid 24th May.

I'm surprised someone said 1st May - 31st May paid 24th May (ie some in arrears and some in advance). I don't think this way of paying is very common? I guess it goes to show that each company does things differently
Definitely find out when cut off dates are, particularly for when you start as you don't want to miss the first cut off date and have to wait a stupidly long time. Find out what paperwork they will need ie P45 etc and get it in as early as possible.
You should get the money (ie you may get paid 6 weeks the first time or a part month) but it's worth finding out the dates for the cut off/registration etc as you may need to budget for the gap to start with.
df

getmore4less

dancingfairy wrote: »

I'm surprised someone said 1st May - 31st May paid 24th May (ie some in arrears and some in advance). I don't think this way of paying is very common? I guess it goes to show that each company does things differently

Quite common, although dates like last X(day of week) is probably used more or a date closer to the end of the month.

There should also be a policy for payment if the pay day fall on a non banking day

Very common to have a Dec policy that brings the pay day to a date before Xmas.