Every month or every two weeks?

Question

I have the option of getting paid once a month or every two weeks. I have to decide tomorrow at orientation and I am a bit stumped at what to do. My first reaction was to get paid every two weeks since this is my first job out of college and I am *broke*, but I can't help but wonder if there is some perk to getting paid monthly that I am missing. Which would you pick? Any advice would be helpful!

Answer 1

The people I know who get paid monthly don't like it.  By getting paid biweekly, you'll have easier cash flow because you won't have to spread out one check for the whole month.  Either way though, you'll get the same amount of money, so it really depends on how well you budget and what you'll feel comfortable with.

Answer 2

I didn't have a choice - I get paid every two weeks.  Looking back, I think that it works well.  The biggest advantage is that there are 26 pay periods in a year, so twice a year you will get three paychecks, not the regular two.  If you condition your spending based on getting only two paychecks, then the months with an extra check come as a pleasant surprise.  It's sort of like getting a tax refund check without having to wait a whole year.

Answer 3

I think this depends on how well you manage money.  Most of your bills will be paid on a monthly basis.  By getting paid once a month you take out what you need to pay the bills for the month and the rest is your "mad" money.  Whereas getting paid every other week you have to set aside a little from each check to make sure you have enough to pay the upcoming bills.

Answer 4

I would go for every two weeks.

Cash management is an important skill and you can mess up no matter what your payment period is.

The trick is not to spend the money but put it in savings (earning interest!!) until the monthly bills need to be paid. Budget can be your best buddy if you know how to do it.