What is a Monthly Pay Period?

A monthly pay period indicates that a company pays its employees every month, resulting in 12 paychecks a year. The majority of salaried employees in European countries are on a monthly pay period. Typically, a monthly pay period results in employees being paid on the last Friday of the month or the last day of the month. 

A monthly pay period is suitable for organizations offering professional and business services. Many contractors and freelancers also prefer to invoice once a month. 

An employee who earns a salary and is paid on a monthly basis would divide their annual salary by 12. For example, if they were to earn $50,000 per annum and divide it by 12, this would result in a gross paycheck of $4,166.67 per month.