Financial Dis/advantages to biweekly vs. monthly paycheck

[G-dog]

My company just notified us that they will start paying salaried employees biweekly. We were being paid monthly.

I am curious regarding any financial benefits  (or costs) to me under the new regime.

Bonus question:financial benefit to company? My best guess is that they get to hold on to the pay a few days longer, also should smooth out cash flow out.

[YoungInvestor]

If the global amount is the same, this means that you're (roughly) getting half of your paycheck early, which means that this money can be invested sooner. Just barely, though.

It doesn't make any real difference except for your convenience (it may be more convenient for someone living paycheck to paycheck to get smaller amounts of money more frequently, or more convenient for someone else to get money on the same frequency as their bills come in).

[Middlesbrough]

You will see a reduction in pay 10 months of the year and 2 months of higher pay when you look at the monthly view. You will get 5 months of 2 paychecks followed by a 3 paycheck month. As someone with a monthly budget, every 6th month feels like a bonus, but it really all the same.

[Cheddar Stacker]

In terms cash flow timing this is a win for you and a loss for the employer (unless they were paying you in advance ).

It definitely smoothes cash flow out for both parties with a steadier flow of expenses for them and income for you. As middles points out though, if you or they look at monthly cash flow there will be a couple peak months.

I think it's better for employer and employee.

[G-dog]

In terms cash flow timing this is a win for you and a loss for the employer (unless they were paying you in advance ).

It definitely smoothes cash flow out for both parties with a steadier flow of expenses for them and income for you. As middles points out though, if you or they look at monthly cash flow there will be a couple peak months.

I think it's better for employer and employee.

They were paying us somewhat in advance - on the 26th for the month. Now they will pay us the Friday after the end of the pay period. They are transitioning us this years, so there is one weird pay period in there 8 work days instead if 10).
Also, the last few days of 2014 will be paid out in 2915 and count as 2015 income.  Good for me for AGI and Roth calculation for 2014!

This is goo incentive to get my personal investing set up!  Please don't punch too hard on that last one....