21-day (?) payment terms

[Kess]

I recently started a contract through Experis, who pay weekly on 21 day payment terms. I don't have a problem with that, but I am puzzled how they can make the 21 day claim.

Their blurb says: "You will be paid 21 days following the processing of your claim. In effect this means your first payment will be received by your company 3 weeks following the processing of your first timesheet and then weekly there after." Sounds good so far.

But then they have this handy little illustration:



So apparently they wait a couple of days before processing the timesheet, and only then does the 21-day clock start. At the end of that period the timesheet is "released" (whatever that means) but they wait a couple more days before pressing the pay button. So in reality it's 25 day payment terms.

Or have I misunderstood how payment terms are defined and calculated?

[v8gaz]

They probably mean working days.

[DirtyDog]

Payment 21 days after processing. Might take two days for the money to hit your bank because they don't use faster payments.

The worry for me would be that if they chose never to process the time sheet, you'd never get paid...

[northernladuk]

Are you sure you are cut out for this. You sound more like a permie to me.

[kevpuk]

Are you sure you are cut out for this. You sound more like a permie to me.

Awww, missed this phrase........

Back on topic, you will find different agencies have all manner of different payment schedules - that is the reality of contracting, no more xth day of the month and your salary arrives.

I have worked on gigs that I invoice and get paid weekly, but with approx. a 3 week delay, and also on monthly invoice and then 10 days later the payment hits MyCo account.....as well as some in between. In many cases, you can choose/negotiate a payment schedule with the agency, though - for my very first gig, agency asked if I wanted to invoice and get paid weekly or monthly (guess which I chose.....)

If you aren't happy with the payment schedule, you could at least try to negotiate different terms. Might not get anywhere, but......Otherwise, if you want the gig and have no options, suck it up

[Kess]

Are you sure you are cut out for this. You sound more like a permie to me.

Nah, just wondered if the agency was being "creative" in their payment terms!

I've been a contractor long enough to know that payment times can vary. I'm just amused to see that even when an agency confidently states that "you will be paid 21 days following the processing of your claim" their own documentation seems to contradict that.

[jpdw]

Its more like 28 days dressed up to sound less. I'm on the same.

When 'selling' this to me, they've also pointed out (more than once) that the "21 days" is only the first time and after that your invoices are paid weekly -- trying to make sound as if it's no longer 21/28 days in arrears -- which of course it is.