Payroll tax deposits: monthly vs semi-weekly schedules

Withheld income tax and Social Security and Medicare taxes are not paid with the quarterly Form 941; they are deposited on a schedule during the quarter. Missing a deposit triggers penalties even if the return is filed on time. This guide explains the schedules.

By Muhammad Bilal, Chartered Accountant. Reviewed by Mirza Fahad Baig, Chartered Accountant. Checked against official sources on . 2 minute read.

Short answer

Your payroll tax deposit schedule depends on the lookback period. Employers reporting $50,000 or less of employment taxes from July two years ago to June last year deposit monthly, by the 15th of the next month. Above $50,000, deposits are semi-weekly, a few days after each payday. New employers start monthly. A $100,000 day must be deposited the next business day.

At a glance

Lookback period
July 1 two years ago to June 30 last year
Monthly
$50,000 or less in the lookback period
Monthly due date
15th of the following month
Semi-weekly
More than $50,000
Next-day rule
$100,000 or more in one day
Small quarters
Under $2,500 can be paid with Form 941
Payroll tax deposits: monthly vs semi-weekly schedulesLookback period: July 1 two years ago to June 30 last year; Monthly: $50,000 or less in the lookback period; Monthly due date: 15th of the following month; Semi-weekly: More than $50,000; Next-day rule: $100,000 or more in one day; Small quarters: Under $2,500 can be paid with Form 941.KEY FACTS AT A GLANCEPayroll tax deposits: monthly vs semi-weeklyschedulesLookback periodJuly 1 two years ago toJune 30 last yearMonthly$50,000 or less in thelookback periodMonthly due date15th of the followingmonthSemi-weeklyMore than $50,000Next-day rule$100,000 or more in onedaySmall quartersUnder $2,500 can be paidwith Form 941Checked against official sourcesTax BakersPayroll tax deposits: monthly vs semi-weekly schedulesLookback period: July 1 two years ago to June 30 last year; Monthly: $50,000 or less in the lookback period; Monthly due date: 15th of the following month; Semi-weekly: More than $50,000; Next-day rule: $100,000 or more in one day; Small quarters: Under $2,500 can be paid with Form 941.KEY FACTS AT A GLANCEPayroll tax deposits: monthly vssemi-weekly schedulesLookback periodJuly 1 two years ago to June 30 last yearMonthly$50,000 or less in the lookback periodMonthly due date15th of the following monthSemi-weeklyMore than $50,000Next-day rule$100,000 or more in one daySmall quartersUnder $2,500 can be paid with Form 941Checked against official sourcesTax Bakers
Key facts at a glance, as set out in this guide.

How is your schedule decided?

By the total employment taxes reported on Form 941 in the lookback period, the four quarters from July 1 two years before to June 30 of the previous year. For 2026, that is July 1, 2024 to June 30, 2025. At $50,000 or less you are a monthly depositor; above it, semi-weekly. The IRS tells you your schedule, and new employers are monthly depositors in their first year. See Form 941.

When are deposits due?

SchedulePaydayDeposit due
MonthlyAny day in the month15th of the following month
Semi-weeklyWednesday, Thursday or FridayFollowing Wednesday
Semi-weeklySaturday, Sunday, Monday or TuesdayFollowing Friday
Any$100,000 or more accumulated in a dayNext business day

A monthly depositor that hits the $100,000 next-day rule becomes a semi-weekly depositor for the rest of that year and the next.

What about small amounts?

If your total liability for a quarter is less than $2,500, and you did not incur a $100,000 next-day liability, you can pay it with the timely filed Form 941 instead of depositing. Annual Form 944 filers have their own small-liability rule.

How are deposits made?

  1. Enroll in EFTPS

    The Treasury's free system, or use a payroll provider that deposits for you.

  2. Calculate each payroll's liability

    Withheld income tax plus both shares of Social Security and Medicare.

  3. Deposit by the due date

    Electronic deposits must be initiated in time to settle by the date.

  4. Reconcile on Form 941

    Semi-weekly depositors attach Schedule B.

Federal unemployment tax has its own quarterly deposit rule. See Form 940.

What are the penalties for late deposits?

2% if deposited 1 to 5 days late, 5% for 6 to 15 days, 10% for more than 15 days, and 15% if still unpaid more than 10 days after an IRS notice. Depositing in the wrong way can also be penalized. Persistent failures put the people responsible at risk of personal liability. See the trust fund recovery penalty and first-time penalty abatement.

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Questions people ask

Am I a monthly or semi-weekly depositor?

Monthly if you reported $50,000 or less of employment taxes in the lookback period; semi-weekly if more. New employers start monthly.

When are monthly payroll tax deposits due?

By the 15th of the following month.

When are semi-weekly deposits due?

The following Wednesday for Wednesday to Friday paydays, and the following Friday for Saturday to Tuesday paydays.

What is the $100,000 next-day deposit rule?

If $100,000 or more of liability accumulates on any day, it must be deposited by the next business day.

Sources

Every fee, date and rule on this page was taken from these official and primary sources.

  1. IRS Publication 15 (Circular E): Employer's Tax Guide
  2. IRS: Depositing and reporting employment taxes
  3. EFTPS: Electronic Federal Tax Payment System

Rules and fees change. If you are reading this long after October 1, 2026, confirm the figures with the source before you rely on them.

Federal tax formsForm 941: the quarterly payroll returnPayroll and contractorsHow to run payroll for the first timePayroll and contractorsPayroll taxes explained: FICA, FUTA and state unemployment

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This guide is general information. It is not tax or legal advice for your situation.