What is Compass Policy On Hourly vs Salaried In 27th Period?

Compass uses a pro-rata pay adjustment for salaried employees during years with 27 bi-weekly pay periods, such as 2026. This change affects kitchen managers, school supervisors, and other salaried leaders.

Hourly associates do not see this adjustment.

The total annual salary stays the same. Each paycheck becomes slightly smaller because the salary spreads across one extra pay period.

This guide explains what pro-rata means, who it affects, and how to plan for it.

What a 27-Pay-Period Year Means

Most years have 26 bi-weekly paychecks. Some calendar years fit 27 Fridays into the payroll cycle.

2026 is one of those years.

Instead of paying the annual salary across 26 checks, Compass divides it across 27 checks.

Nothing is taken away. The money spreads out.

What Pro-Rata Adjustment Means in Simple Terms?

Pro-rata means Compass divides your yearly salary evenly across all pay periods.

That makes each check smaller, but the yearly total stays the same.

Example: $52,000 Salary

  • Normal year (26 checks):
    $52,000 ÷ 26 = $2,000 per check
  • 27-pay-period year (2026):
    $52,000 ÷ 27 = $1,926 per check

That is about $74 less per paycheck.

At the end of the year, the total pay still equals $52,000.

Your first January paycheck shows a note like “27-pay-period adjustment.”

Who This Affects at Compass

Affected Employees

  • Salaried managers
  • School supervisors
  • Exempt leadership roles
  • Fixed annual salary positions

Not Affected

  • Hourly kitchen staff
  • Hourly school employees
  • Hourly hospital workers
  • Union roles with contract pay rules

Hourly associates keep normal hourly pay and receive an extra paycheck at the end of the year.

Why Hourly Associates Are Unaffected?

Hourly employees earn pay based on hours worked.

In a 27-pay-period year:

  • You work normal hours
  • You get paid for those hours
  • You receive one extra paycheck late in the year

There is no spreading or adjustment.

Many hourly workers see this as a bonus paycheck, often around $900 or more, depending on hours.

Why Compass Uses the Pro-Rata Method?

Compass follows this method for clear reasons.

Budget Control

Annual payroll costs stay accurate. No surprise expense hits at year end.

Fairness

All salaried employees receive equal treatment across locations.

Benefits Accuracy

401(k), health insurance, and tax reporting stay aligned with IRS rules.

Industry Standard

Large employers often use pro-rata adjustments during 27-pay-period years.

This approach avoids last-minute corrections or lump-sum payments.

What Salaried Associates See in ESS Compass?

In the CAP PeopleHub Paystubs tab, salaried employees see:

  • 27 paystubs for the year
  • Same adjusted amount on each stub
  • No catch-up check in December
  • Same annual total pay

Your employee profile shows salaried classification, which confirms the adjustment applies.

Monthly Budget Impact to Expect

Smaller checks affect monthly planning.

Example: $60,000 Salary

  • Normal year:
    $2,308 bi-weekly ≈ $4,616 per month
  • 27-pay-period year:
    $2,222 bi-weekly ≈ $4,444 per month

That is about $172 less per month.

Nothing disappears. The timing changes.

Planning early helps avoid stress.

What Compass Communicates to Employees?

Compass usually shares this change through:

  • HR bulletin boards
  • Manager meetings in January
  • Company emails
  • Paystub notes on the first check

Managers often explain the change during the first week of January.

If you miss the message, your paystub note explains it clearly.

Union Contracts May Be Different

Union agreements can override corporate payroll rules.

  • Union hourly staff follow their contract
  • Pay periods depend on the collective agreement
  • Always check your site’s bulletin board

Non-union salaried employees follow corporate pro-rata rules.

How to Confirm Your Adjustment?

To verify your pay:

  1. Log in to compassassociate.com
  2. Open PeopleHub
  3. Click Paystubs
  4. Open your first January paycheck
  5. Look for the 27-pay-period note
  6. Multiply your check by 27 to confirm total salary

This removes confusion and prevents false payroll concerns.

What to Do If Numbers Look Wrong?

If something does not match:

  • Confirm your role shows salaried
  • Check annual salary in PeopleHub
  • Ask your manager to confirm classification
  • Contact payroll only after review

Most questions resolve once employees understand the adjustment.

Key Takeaway for Compass Associates

Compass salaried employees receive the same total annual pay in 2026.

Paychecks look smaller because the year includes 27 pay periods.

Hourly workers remain unaffected and receive an extra paycheck.

Understanding this early helps kitchen managers, school supervisors, and hospital leaders plan budgets with confidence.

Check your first 2026 paystub in CAP PeopleHub to see the adjustment live and stay informed all year.

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