Your company may or may not have celebrated Juneteenth this year, but now that it’s a federal holiday, it’ll likely impact your payroll process going forward.

President Biden signed legislation on June 17, 2021, making Juneteenth (June 19) a legal public holiday to commemorate the end of slavery in the U.S. Here’s what that means to you.

Planning ahead

As a federal holiday, Juneteenth could impact your payroll cycle and certain filing deadlines since banks, nonessential government offices and post offices are typically closed.

Federal holidays that fall on weekends are especially tricky. If the holiday occurs on a Saturday, it’s observed the Friday before, and if it falls on a Sunday, it’ll be observed the Monday afterward. Heads up: June 19 is a Sunday in 2022, meaning the federal holiday will be observed on the following Monday.

Several states also recognize Juneteenth as a paid state holiday. That means you’ll have to check that the holiday doesn’t affect state tax payment or reporting deadlines.