Rhode Island Bi-Weekly Payment Bond Guide
If you want to pay employees on a bi-weekly schedule in Rhode Island, your company must be bonded. Learn how to get bonded and apply for your free quote in this guide.
Bond Overview
- Purpose: To ensure employees will receive their owed wages
- Who Needs It: Employers paying wages on a bi-weekly basis
- Regulating Body: The Division of Workforce Regulation and Safety, Labor Standards Unit
- Required Amount: Equal to the highest bi-weekly wages owed in the prior year
- Premium Rate: 1–6% of the bond amount, credit-based
What Is a Rhode Island Bi-Weekly Payment Bond?
An irrevocable bi-weekly payment bond guarantees employees will receive their wages.
Per RIGL § 28-14-2.2, Rhode Island typically requires businesses to follow a weekly payment schedule. However, employers can apply for approval to pay wages bi-weekly if they file a surety bond.
What Bond Amount Do I Need?
The Rhode Island Department of Labor and Training (DLT) requires employers applying for a bi-weekly pay exemption to file a surety bond or letter credit as financial security.
Your financial security must equal the amount of the highest bi-weekly exposure in the prior calendar year.
How Much Do Bi-Weekly Pay Bonds Cost in Rhode Island?
Bi-weekly payment bonds typically cost 1–6% of the bond amount based on the personal credit score of the business owners.
For example, a business that needs a $15,000 bi-weekly pay bond could pay just $150 with excellent credit score.
Request your free, no-obligation quote today!
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Does a Bi-Weekly Payment Bond Work?
Irrevocable bi-weekly payment bonds in Rhode Island are a contract between three parties:
- Principal: The employer filing the bond
- Obligee: The DLT, Labor Standards Unit requiring the bond
- Surety: The provider issuing the bond
If an employer defaults on bi-weekly payments, employees can file bond claims to receive their full wages. The surety will pay those claimants and then seek reimbursement from the principal.
How Do I Get a Bi-Weekly Pay Bond in Rhode Island?
SuretyBonds.com offers the fastest way to get bonded in Rhode Island. To get your irrevocable bond bi-wekly payment bond, follow these quick steps:
- Apply: Complete our quick online application to receive a free quote
- Sign: Sign the indemnity agreement and provide more information if requested
- Pay: Checkout online or over the phone
- Ship: Select your shipping method
Sign and submit your original bond form along with your bi-weekly pay employer application packet.
How Fast Can I Get My Bond?
We process most bi-weekly payment bonds in 24 hours or less. If you’re in a rush, we offer two-day and overnight FedEx shipping options.
Can I Get Bonded With Bad Credit?
Yes, you may still be able to get a bi-weekly payment bond with bad credit. However, be aware that personal credit score will impact your premium rate.
Visit our Surety Bond Cost Guide to see how credit score may impact your price.
How Do I Renew My Bi-Weekly Pay Bond?
Rhode Island irrevocable bi-weekly payment bonds last for one year.
To renew your bond, simply pay your renewal invoice when prompted and follow any other instructions from your account representative.
The surety can cancel this bond by providing 60-day’s written notice to the DLT.
How to Get a Bi-Weekly Pay Exemption in Rhode Island
Most employers in Rhode Island are required by law to pay wages weekly. However, if you can prove financial security and payroll documentation, you may be approved for a bi-weekly wage payment schedule.
Submit the following materials to apply for the bi-weekly pay exemption:
- Bi-weekly Pay Application Form with original signatures
- Copy of surety bond or letter credit
- Copy of payroll records for prior year and explanation of numbers reported
- Written consent of a collective bargaining representative if applicable for any employees
- Copy of payroll records indicating average payroll exceeds 200% of the State minimum wage OR explanation if not
- Certification of no wage and hour violations
Mail this application packet to the DLT at the address below.
Department of Labor and Training
Labor Standards Unit - Biweekly Pay
1511 Pontiac Avenue
Building 70-2
P.O. Box 20390
Cranston, RI 02920-0942
Get started by applying for your free surety bond quote today!
