Payment frequency refers to how often an employee or individual is paid. It determines how often payroll must be run and how many paychecks an employee receives in a year. The payment frequency options include weekly, biweekly, semimonthly, and monthly. The frequency of payment does not impact an employees annual tax liability or net pay, as it all equals out over time. Payment frequency can also refer to how often a payment is made for other types of financial transactions, such as mortgage payments or annuity payments. The payment frequency options for these types of payments can include monthly, quarterly, semi-annually, annually, weekly, bi-weekly, and bi-monthly. Understanding payment frequency is important for managing cash flow and budgeting.