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MarinaVanessa 08:15 AM 11-22-2011
Originally Posted by DaycareMama:
i am having the problem is with our states new payment system. They now do it every two weeks with the pay periods being the 1st-15th and then 16th-31st. Which then cuts off a regular work week YKWIM?
I don't know if this is what you're talking about or if this will help (or even if I can explain it right) but here goes. Your state pays every two weeks and cuts work weeks ... here when I get payment from the state we get paid monthly even though I charge weekly and the first week and last week of the month almost always get cut off for me too. It's kind of the same thing even though it happens to you more than it happens to me.

So what I do is just record my payment on exactly the days that I get paid. In October the 31st was on a Monday and I get paid on Mondays so my families all paid me that day except 1 (state paid). All of these payments applied for October even though they covered only one day in Oct and the other 4 days were November. On the 7th of October I got my check from the state to cover my other family and I applied it to October's income even though it really covered August's payment (our payments are 2 months behind). Do the same for you payments when you're doing your record keeping.

It's just like doing your yearly taxes. If you get paid Fridays for the week in advance and the last day of the year fell on a Friday and all of your clients paid you that last Friday, that income would be applied to the current year and you would claim it on this year's taxes, not the next year, even though those payments were to cover the first week of the next year. Does that make sense? Or maybe I've missed the mark comletely and you're talking about something completely different
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