Why would employees who get paid on a weekly basis have a problem switching to a biweekly paycheck schedule?

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pohnpei397 | College Teacher | (Level 3) Distinguished Educator

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Surely not all workers who were paid on a weekly basis would have trouble adjusting to being paid less often.  However, it is likely that many would have problems.  The problems would come about because the employees would need to be better about budgeting their money because they would have to go longer periods without getting paid. Often employees who are paid weakly are minimum wage workers who depend upon earnings to feed their children. Especially in the initial transition, a two-week wait for earnings might cause severe difficulty for attaining basic necessities and for meeting utility and rent payment arrangements.

For many people, budgeting money and putting off consumption is very difficult.  When they get a lump sum of money, they are likely to spend a great deal of it.  They have a hard time looking ahead, anticipating what their upcoming expenses will be, and making sure that they have enough money to get them to their next paycheck.  For such people, the transition to a biweekly check might be a real problem.  Some such employees might run out of money in the two weeks between paychecks.  They might lack the skills and the attitudes needed to make sure that they could make their wages last until they next got paid.

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