3 tips for getting paid on time

Companies, large or small, pay their employees per the criteria established in their employment contract. However, for an independent contractor, writing a comprehensive contract that details the terms of payment is crucial. Whether you are an employee or a business owner, the following three tips are helpful guides to ensure you get paid on time.

Follow the Payroll Protocol when Getting Paid

Prior to accepting employment, read the contract and confirm your employment terms before you sign it. It’s imperative to understand how payroll works and comply with the company’s policy. Make sure the job offer equates to the same policies, standards and terms in the contract, including in regards to salary. For example, If time sheets are due a week prior to getting paid, then protocol must be followed. Otherwise, wages might be adjusted and paid late on the next payroll cycle.

Create a Detailed Contract

As a sole proprietor, establish a comprehensive contract outlining what the job entails, how much your fee is, the payment due date and the percentage charged for late payments. Asking for partial payment up front guarantees at least some compensation in case the client refuses to fulfill their obligation. Usually, requiring 30%-50% at the start seals the agreement and enables a contractor to begin with the job. Graphic designers add milestones to their brief/contract to establish progression deadlines (at which point the client must pay) prior to the contractor proceeding with the project.

Be aware of payroll policy or establish a comprehensive contract to have a better chance of getting paid.