With our On-Demand Payroll feature, clients can pay their PEO employees outside of the normal payroll cycle from the Deel platform with one click.
This article explains how off-cycle payments work and how to request On Demand Payroll for PEO employees on Deel.
In This Article
Getting Started with On-Demand Payroll
Availability of On-Demand Payroll
What is On-Demand Payroll?
Our On-Demand Payroll feature enables clients to pay their employees off-cycle from the Deel platform. Off-cycle payments are payments made outside of the normal payroll cycle. Clients can make an off-cycle On-Demand payment to pay expenses, allowances, and bonuses to employees even after the payroll cut-off.
It is also possible to pay employees their full salary up to one month in advance of payday.
Standard Timeline for On-Demand Payroll for PEO Employees
It takes 3 business days to complete an on-demand payroll payment for a PEO employee.
For detailed information about the payout deadline for every state, see On-Demand Payroll Deadlines for Terminations.
Getting Started with On-Demand Payroll
Previously, there was not much visibility into the potential tax deductions from payroll requests until after processing - now, there's an estimated calculation of applicable taxes upfront. It's important to note that these are estimates, as the exact tax amounts can only be determined once the On-Demand Payrolls are fully processed. This gives clients a clearer understanding of their financial commitments by providing early insights into potential tax implications.
✅ Step 1 – Open an employee's profile page
Select the People icon on the home page and from the All People tab click the employee for whom want to add an On-Demand Payroll payment.
✅ Step 2 – Select the Payments, Expenses & Work Submissions section
In the Payments, Expenses & Work Submissions page, click on Add in the On-Demand Payroll section.
✅ Step 3 – Add Item Details
The client must specify what they want to add to the On-Demand Payroll. They can choose between :
- A new one-off payment item: This includes allowance, expense, and bonus.
- Existing payment items
- Salary advance: Prepay salary to the employee. The maximum request amount will be listed on the page.
Clients will be paying the employee outside of the regular payroll cycle, and fees may apply. Fees will be listed on the page.
Clients cannot request an On-Demand Payroll until all pending invoices are settled.
✅ Step 4 – Deel processes the request
We will process the request as soon as possible and initiate the payment within two business days in the employee's country.
Payments will usually reach the employee's bank account within 3 business days after Deel initiates the payment, depending on the payment system in their country.
Therefore, On-Demand Payroll payments are usually paid out to the employee within five total business days.
On-Demand Payroll Deadlines for Terminations
[ACCORDION] Expand to see the details…
The deadline to payout the final wage to an employee varies by state and it's determined by whether the employee resigned or was terminated by the company. This table lists such deadlines by state:
| State | Resigned employee deadline | Terminated employee deadline |
|---|---|---|
| Alabama | No law | No law |
| Alaska | Next scheduled payday that's at least 3 days after the employee gives notice | Within 3 working days of termination |
| Arizona | Next scheduled payday | Whichever is first: within 7 working days or next payday |
| Arkansas | No law | Next scheduled payday |
| California | Within 72 hours or immediately if the employee gave at least 72 hours' notice | Immediately (employees can recover penalties for everyday wages are withheld) |
| Colorado | Next scheduled payday | Immediately |
| Connecticut | Next scheduled payday | Next business day |
| Delaware | Next scheduled payday or 3 business days after last day of work, whichever is later | Next scheduled payday or 3 business days after last day of work, whichever is later |
| District of Columbia | Whichever is first: within 7 days or next payday | Next business day |
| Florida | No law | No law |
| Georgia | No law | No law |
| Hawaii | Immediately if employee gives one pay period notice, or scheduled payday | Immediately or next business day |
| Idaho | Whichever is first: within 10 days or next payday. If employee provides a written request for earlier payment, within 48 hours (excluding weekends and holidays) of receiving the request. | Whichever is first: within 10 days or next payday. If employee provides a written request for earlier payment, within 48 hours (excluding weekends and holidays) of receiving the request. |
| Illinois | Immediately if possible but no later than next scheduled payday | Immediately if possible but no later than next scheduled payday |
| Indiana | Next scheduled payday | Next scheduled payday |
| Iowa | Next scheduled payday | Next scheduled payday |
| Kansas | Next scheduled payday | Next scheduled payday |
| Kentucky | Whichever is later: within 14 days or next scheduled payday | Whichever is later: within 14 days or next scheduled payday |
| Louisiana | Whichever is first: next scheduled payday or within 15 days | Whichever is first: next scheduled payday or within 15 days |
| Maine | Next scheduled payday | Next scheduled payday |
| Maryland | Next scheduled payday | Next scheduled payday |
| Massachusetts | Next scheduled payday | Immediately |
| Michigan | Next scheduled payday | Next scheduled payday |
| Minnesota | Next payday that's at least 5 days after an employee's last day but no more than 20 days after the last day worked. | Immediately or if employee submits a written request, within 24 hours of demand |
| Mississippi | No law | No law |
| Missouri | No law | Immediately |
| Montana | Whichever is first: next scheduled payday or within 15 days | Immediately (within 4 hours or the end of the same business day) |
| Nebraska | Whichever is first: next scheduled payday or within two weeks | Whichever is first: next scheduled payday or within two weeks |
| Nevada | Whichever is first: within 7 days or next payday | Immediately |
| New Hampshire | Next scheduled payday, or within 72 hours if the employee gives one period pay notice | Within 72 hours |
| New Jersey | Next scheduled payday | Next scheduled payday |
| New Mexico | Next scheduled payday | Next scheduled payday (task, piece and commission wages due within 10 days). If wages are a fixed amount, they are due within 5 days of termination. |
| New York | Next scheduled payday | Next scheduled payday |
| North Carolina | Next scheduled payday | Next scheduled payday |
| North Dakota | Next scheduled payday | Next scheduled payday |
| Ohio | No law | No law |
| Oklahoma | Next scheduled payday | Next scheduled payday |
| Oregon | Immediately if the employee gave 48 hours notice, otherwise within 5 days, or the next payday, whichever comes first | By the end of the next business day |
| Pennsylvania | Next scheduled payday (If the employee requests the final check to be mailed, then the company is required to do so). | Next scheduled payday (If the employee requests the final check to be mailed, then the company is required to do so). |
| Rhode Island | Next scheduled payday | Next scheduled payday |
| South Carolina | Within 48 hours or next scheduled payday not to exceed 30 days | Within 48 hours or next scheduled payday not to exceed 30 days |
| South Dakota | Next scheduled payday, or the employer can hold the final pay until company property is returned. | Next scheduled payday, or the employer can hold the final pay until company property is returned. |
| Tennessee | Within 21 days or the next regular payday, whichever occurs later | Within 21 days or the next regular payday, whichever occurs later |
| Texas | Next scheduled payday | Within 6 calendar days |
| Utah | Next scheduled payday | Within 24 hours |
| Vermont | Whichever is first: next scheduled payday or if there is no regular payday, then the next Friday | Within 72 hours from the time of discharge |
| Virginia | Next scheduled payday | Next scheduled payday |
| Washington | Next scheduled payday | Next scheduled payday |
| West Virginia | Next scheduled payday | Next scheduled payday |
| Wisconsin | Whichever is earlier: Next scheduled payday, or in 31 days | Whichever is earlier: Next scheduled payday, or in 31 days |
| Wyoming | Next scheduled payday | Next scheduled payday |
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Frequently Asked Questions
[ACCORDION] What is the fee for an off-cycle payment?
There is a $29 fee for each employee impacted by an On Demand Payroll request.
We will add the fee to the invoice if the payment is approved.
[ACCORDION] Can clients pay an employee off-cycle without paying the fee?
Clients can request an off-cycle payment to a PEO employee by starting a live chat with a support agent or reaching out to their designated Customer Success Manager.
All requests for an off-cycle payment are carefully reviewed and approved on a case-by-case basis.
Clients will receive confirmation of an off-cycle payment within 2 business days if the request is approved.
Deel will issue off-cycle payments for 3 main reasons:
✅ Client request - Deel reserves the right to use our best judgment on whether the payment should be paid with a special off-cycle payment, or added until the next regular payroll cycle.
✅ Compliance - In many some states, certain payments (like terminations) must be paid out within a certain, urgent timeframe. These final payments need to be paid as a special off-cycle payment to make sure Deel complies with local regulations.
✅ Potential errors or mistakes- Mistakes happen. A client may make a human error while using the Deel platform, or a Deel group member may make a mistake in processing payroll. In some rare instances, a technical error could impact our payroll.
In any of these cases, Deel may use an off-cycle payment as a tool to correct for our clients and issue an instant payment to the employee.
[ACCORDION] How much money can clients advance to employees?
Clients can give up to one full month's salary in advance if the PEO employee lives in a state where On-Demand Payroll is supported.
Select the Salary Advance option from the pop-up and then add the request details.
[ACCORDION]If autopay is turned on is On Demand Payroll automatically paid after submission?
On-Demand payroll requests are always reviewed and processed by our teams and are not paid automatically even if the autopay is turned on.
[ACCORDION] How will an off-cycle payment appear on the invoice?
If we approve an off-cycle payment, we will simultaneously issue an off-cycle invoice to clients.
Clients will receive a notification and be able to access it by selecting the Payments tab on their home page.
[ACCORDION] Can clients make an On-Demand payment for a terminated employee?
Yes, where available clients can request an On-Demand payment for a limited number of calendar days after an employee has been offboarded.
Details for the request deadline after a termination are coming soon…
[ACCORDION] Will employees know if something has been paid as an off-cycle?
During an off-cycle payment, Deel will issue off-cycle payslips for the employee.
In many countries, these payslips can be provided instantly to the employee, but in some countries, an off-cycle payment will be reported only in the regular monthly payslip.
[ACCORDION] Can we process more than one off-cycle payment at a time?
Payroll Managers can process multiple Off Cycles for an entity at once. When 2 or more Off-cycle payments have been processed in parallel, clients will be presented with multiple Off-cycle invoices that can be paid separately or simultaneously.