Canada Payroll: Transition to Semi-Monthly Pay Schedule
Modified on: Wed, 25 Mar, 2026 at 5:20 PM
Applies to: Canada employees
Effective date: April 2026
In April 2026, payroll in Canada is transitioning from a bi-weekly schedule (26 pay periods per year) to a semi-monthly schedule (24 pay periods per year). This means employees will be paid twice per month: on the 15th and on the last day of the month (LDOM) every month going forward.
This article explains what is changing, when it is changing, how pay is calculated during the transition and on an ongoing basis, and answers common questions.
What Is Changing?
| Before (Bi-Weekly) | After (Semi-Monthly) | |
|---|---|---|
| Pay frequency | Every two weeks | Twice per month |
| Pay periods per year | 26 | 24 |
| Pay dates | Every other Friday (varies) | 15th and last day of every month |
| Salary formula | Annual Salary ÷ 26 | Annual Salary ÷ 24 |
Note: Total annual compensation does not change. Only the frequency and timing of payments is affected.
What Is Not Changing?
- Total annual salary and compensation
- Employee benefits
- Payroll submission cut-off dates
- Payroll processing and service standards
- Local partner relationships
April 2026 Transition Schedule
April is a bridge month between the old and new schedules. There will be four pay dates in April and early May to ensure full coverage of all working days with no gaps or overlaps.
| Pay Date | Pay Period Covered | Type |
|---|---|---|
| April 10, 2026 | March 23 – April 5 | Final bi-weekly payment |
| April 15, 2026 | April 6 – April 15 | Transition payment |
| April 30, 2026 | April 16 – April 30 | First semi-monthly payment |
| May 15, 2026 | May 1 – May 15 | Second semi-monthly payment (ongoing) |
How Pay Is Calculated
Ongoing Semi-Monthly Payments (April 30th onwards)
From April 30th, every payment is calculated using the standard semi-monthly formula:
Payment Amount = Annual Salary ÷ 24
Example: An employee earning $72,000 CAD per year will receive:
$72,000 ÷ 24 = $3,000 per payment, twice per month
April 15th Transition Payment (Special Calculation)
The April 15th payment is a one-time transitional pay covering 8 working days (April 6–15). Because this period does not align with a standard semi-monthly period, it uses a daily rate calculation based on 260 working days in the year:
April 15th Payment = (Annual Salary ÷ 260) × 8
Example: An employee earning $72,000 CAD per year will receive:
($72,000 ÷ 260) × 8 = $276.92 × 8 = $2,215.38 on April 15th
This payment is smaller than a standard semi-monthly payment because it covers fewer working days than a full half-month period. Regular-sized payments resume from April 30th onwards.
April 10th Final Bi-Weekly Payment
The April 10th payment follows the existing bi-weekly formula and is the last payment under the old schedule:
Payment Amount = Annual Salary ÷ 26
Example: An employee earning $72,000 CAD per year will receive:
$72,000 ÷ 26 = $2,769.23 on April 10th
Full April Example: Employee Earning $72,000 CAD/year
| Pay Date | Period Covered | Formula | Payment Amount |
|---|---|---|---|
| April 10, 2026 | March 23 – April 5 | $72,000 ÷ 26 | $2,769.23 |
| April 15, 2026 | April 6 – April 15 | ($72,000 ÷ 260) × 8 | $2,215.38 |
| April 30, 2026 | April 16 – April 30 | $72,000 ÷ 24 | $3,000.00 |
| May 15, 2026 | May 1 – May 15 | $72,000 ÷ 24 | $3,000.00 |
Total paid across April 10th and April 30th payments: $7,984.61 — fully reflecting all working days in the transition period with no duplication.
A Note on April Billing (For Clients)
Clients will notice that the April invoice is slightly smaller than usual. This is because the invoice covers only 3 weeks of activity (April 6th through April 30th) during the transition period, rather than a full month. Invoices will normalize from May onwards and remain consistent on a recurring basis.
Frequently Asked Questions
Will my total annual salary change?
No. Your annual compensation remains exactly the same. Only the timing and frequency of payments is changing.
Why is my April 15th payment smaller than usual?
The April 15th payment covers 8 working days only (April 6–15) as a bridge between the old and new schedules. Full semi-monthly payments of your standard amount resume from April 30th onwards.
When does the new schedule officially begin?
The semi-monthly schedule begins with the April 30th payment, which covers April 16–30.
What are my ongoing pay dates?
From May 2026 onwards, you will be paid on the 15th and the last day of every month.
What if a pay date falls on a weekend or public holiday?
Payments will be processed on the last business day before the scheduled date.
Who do I contact if I have questions about my pay?
Please reach out to Remote People Support with any questions.
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