"How do I change the pay period for my 941 bi weekly deposits to match payroll? "
It won't, because you are comparing the wrong two things.
The 941 is based on Pay Date, not Pay Period. Think about this fact: You owe Taxes because you issued Paychecks. That's why Pay Period is not "PERIOD" when you look at Liabilities.
Period, for Liabilities, is based on the Cycle of your due date, and then the Pay Date. Examples:
If you pay your Employees Bi-Weekly, and you pay 941 "Bi-Weekly" what you really as describing is "Semi-weekly" for IRS purposes, or "within 3 banking dates of the Pay date."
Monthly Depositor
Under the monthly deposit schedule, deposit employment taxes on payments made during a month by the 15th
day of the following month. Employers who deposit monthly should only
report their deposits quarterly or annually by filing Form 941 or Form
944.
Semi-weekly Depositor
Under the semiweekly deposit schedule, deposit employment taxes for
payments made on Wednesday, Thursday, and/or Friday by the following
Wednesday. Deposit taxes for payments made on Saturday, Sunday, Monday,
and/or Tuesday by the following Friday. Report your deposits quarterly
or annually only by filing Form 941 or Form 944.
Example: You pay every other Friday, so excluding weeks with Banking holidays, the Tax Payment is due by the next Wed (three banking dates = Monday, Tuesday and Wednesday). Note that the Liability PERIOD really is described as: "for
payments made on Wednesday, Thursday, and/or Friday."
Monthly Example: I pay on the 5th for the previous Month. So, for the Pay Date of July 5th = Pay 941 by Aug 15. The Pay Period was for June.
The PERIOD can be July 5-July 5, or July 1-31. It is the Same thing = for all Paychecks dated in July, the 941 taxes must be paid by Aug 15.
Pay Period = the time being paid for
Work Week = typically needed to determine OT
Liability Period = because Funds are moving
I hope that helps.
