Ask HN: How do you handle receiving your paycheck late?

7 points by alphanumeric0 ↗ HN
I am a full time remote developer for a smaller design studio based on the west coast, working with Python/Django for a well known client. When I approached my manager for an explanation all I was told was that I would receive my paycheck a week late and that it was 'in the mail'.

I am not interested in legal action. I'm curious if others have experienced this and what actions you took, if any.

7 comments

[ 25.0 ms ] story [ 1190 ms ] thread
First, always try to make sure you don't actually need the paycheck on time to meet your responsibilities, but stuff does happen occasionally anywhere that can cause a payment delay.

Next, if this is the employer or client's first late check, don't worry about it. If it happens again, worry about it and express your concerns that this is not acceptable. If it happens a third time, I'd personally be looking for other opportunities that were more stable.

Not sure legal action is even possible on a slightly delayed pay check, depends on your contract. For freelance work, many places require by law a 30 day payment period after you issue an invoice; that's the case in my country.

I don't agree with this "Three Strikes and your Company is Out!" advice. A company asked me to take a paycheck late once (basically giving us a form that said we can stay and get paid late or we can quit and get our last check late), and I agreed, especially after the client apologized personally and said he'd wire the money as soon as it got freed up. I got two paychecks like a week and a half later.

A month later the form got passed out again. That second time I really, really considered, on principle, going with "quit", even though I didn't have anything else lined up. Before I made the decision, though, I was called in to the office and laid off, along with about half of the staff. And then I got that check about two weeks later.

That first time is a harbinger of things to come. Don't ignore it. Start looking for something else immediately. You might not get a second warning.

You should definately follow up. Otherwise you kind of look like you don't mind. Make sure its polite and professional and don't jump to any conclusions.

Keep records of any correspondence and activities related to the matter so that you can helpfully point these out at a later date should you need to.

If it happens again then you need to be more firm and notify them of your intended actions which could include finding other employment.

The real reasons for the late payment could be many: no money to pay you, bank administration problem, forgot to do payroll. There aren't many acceptable reasons and if it is "no money to pay you" then I'd start looking for another job.

I would start looking for a new job. There is no excuse for late payment.

And if you don't receive payment in a week, tell you them are going to send the companies details to a debt collection agency. You don't have to do it, but the threat will work.

Keep in mind that this will burn bridges. However, if a company can't afford to pay you and makes excuses (cheque is in the mail etc), perhaps it is time to burn a few bridges.

Check out http://workplace.stackexchange.com A variant of this question has been asked many times, and there are a few good answers.

When a company doesn't pay on time without forewarning, it tends to be a bad sign in regard to their financial picture. It is not uncommon for companies to experience temporary problems with cash flow, but when the picture is positive in the short term, there's less incentive to avoid the unpleasant conversation. When the outlook is grim, decent people (and most people are) want to avoid lying and so the conversation gets put off.

To put it another way, employees are usually the last people to not get paid. Vendors, landlords, utility companies, etc. are much easier to delay, e.g. landlords don't want to evict tenants because of the associated expense. Employees are likely to just stop showing up.

On the bright side, if you always wanted to be a bank offering zero interest loans to companies that don't pay their employees, this is your chance. Because apparently the company cannot borrow money to cover operating expenses.

Good luck.

I say start looking for a new job, as well. Late pay is a prelude to a nonexistent job.
I am in agreement with others to be wary and consider looking for a new job. I was in a similar, but worse position that ended up with a lot of my work not getting paid for.