What are Payment cycles on Deel?
Introducing payment cycles means that now every payment is tied to a payment cycle. This feature will greatly improve the overall experience and remove the confusion with payments. In simple words, a client pays for the work submitted by a contractor within a set cycle.
Let's take a look at this example:
Let's say a contractor should be paid weekly. During the contract creation, you can select when the payment cycle will occur. If you choose Friday, that means the cycle lasts 7 days, from Saturday to Friday the following week. Any work that is submitted by Friday will be taken into account for that payment cycle. The invoice will be generated and sent to the client.
What is an overdue payment on Deel?
If for whichever reason a client doesn't issue a payment for a payment cycle (in this case a week) on time, the payment becomes labeled as overdue. This payment is separated from a new cycle that started afterward and can be paid at the client's convenience. This can also mean that two payments (overdue and newly issued) can be paid at the same time. The sum of the two payments will be displayed on the dashboard. Here's how to process an overdue payment.
What happens when a contractor doesn't submit the work on time?
If a contractor doesn't submit work by the end of a payment cycle, they can do it afterward and add it to the previous cycle. Keep in mind that the work submitted for past cycles will show as overdue.
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