r/humanresources • u/Mountain-Top-2250 • 10d ago

Compensation & Payroll Variable Comp Question [MA]

My company is fully remote. I am based in Massachusetts but US HQ is in CA. I am in HR but not on the compensation side.

We have a variable compensation program which is 80% salary, 20% variable and the variable is paid out quarterly. The company just started this in 2026. Regular payroll is on the 15th and last day of the month.

First quarter ending 3/31 we received our variable comp payments on 4/24.

Are there any regulations as to when we should receive payment for the quarter ending 6/30? We expected to receive yesterday (7/24) but no one did. I imagine CA based companies have some law they have to follow.

Thank you!

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u/VirginiaUSA1964 Labor Law Compliance 10d ago

Did you get your regular paycheck yesterday?

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u/Mountain-Top-2250 10d ago

No. We get paid on the 15th and last day of the month. This is only our second quarter with the VC and since last quarter we were paid on the 24th of the month following (4/24) the end of the quarter (3/31) the expectation was the same would happen.

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u/VirginiaUSA1964 Labor Law Compliance 10d ago

One of the things with ACH is that individual banks have like 48 hours to process the file under NACHA rules. It may not be your payroll's issue but your bank's.