This guide helps you understand how Canadian holidays impact payroll for employees paid by direct deposit.

How do holidays affect my payroll processing?

If a payday falls on a banking holiday, the following information will help determine what will happen with your normal payroll dates:

  • If no changes are made to your payroll, direct deposit pay cheques will be posted on the first business day after a statutory holiday.
  • If you want to pay employees before the holiday, adjust the pay cheque date accordingly. You'll also need to adjust your submission date to allow for the two business days needed to process payroll and direct deposits (Holidays are not considered business days). If your date change includes the leap year day, February 29, verify your computer/operating/calendar system recognizes the date.
  • If a payday falls within two banking days of a holiday, payroll must be submitted one day earlier than usual.

When are payroll transmissions due?

A payroll transmission is when direct deposits (pay cheques) are sent to Intuit to be processed. Here are their deadlines:

  • QuickBooks Online Standard Payroll: Two business days before the cheque date, before 8 pm ET. Federal banking holidays are not considered business days.
  • QuickBooks Online Advanced Payroll powered by Wagepoint: Three business days before the cheque date, before 12 pm ET. Federal banking holidays are not considered business days.

Direct deposit schedule calculator, for reference.

If a Federal Reserve statutory holiday falls on a scheduled payday, or one or two days following a scheduled payday, you may need to adjust your pay cheque date or send in your payroll earlier than you would otherwise.

For example, if the cheque date is Tuesday and Monday is a holiday, send your pay cheques by:

  • QuickBooks Online Payroll - the preceding Thursday before 8 pm ET. (The time stamp can't be later than 7:59 pm ET) The debit occurs on Friday.
  • QuickBooks Online Advanced Payroll - the preceding Wednesday before 12:00 pm ET. (The time stamp can't be later than 11:59 am ET) The debit occurs on Friday.

Now you have a better understanding of how Canadian holidays impact payroll for employees paid by direct deposit