Are Banks Closed on Labor Day?

A Monday holiday, so no weekend split

5 U.S.C. 6103 defines Labor Day as “the first Monday in September.” It cannot fall on a weekend, so the Federal Reserve and the federal government (OPM) close on the same day every year. The Saturday and Sunday rules that affect July 4 or Juneteenth in some years play no role here.

The Federal Reserve’s published schedule lists Monday, September 6, 2027; Monday, September 4, 2028; Monday, September 3, 2029; and Monday, September 2, 2030. Monday, September 1, 2031 and Monday, September 6, 2032 are calculated from the statutory rule, because the Federal Reserve has not published those years yet.

What happens to payments on Labor Day

What about the rest of the weekend? Branches follow each bank’s own weekend hours, but the Federal Reserve does not settle ACH or wires on Saturdays and Sundays, so Labor Day weekend means three days in a row without interbank settlement.

• ACH and direct deposit: FedACH does not settle on the holiday. For Labor Day 2026, Federal Reserve Financial Services’ holiday schedule showed processing ending at 3:00 a.m. ET on Saturday, September 5 and resuming at 5:30 p.m. ET on Monday, September 7, so the next settlement was Tuesday morning. See our ACH page for the regular settlement times.
• Wire transfers: the Fedwire Funds Service treats Federal Reserve holidays as non-business days. A wire that misses your bank’s cut-off on Friday, September 3, 2027 goes out on Tuesday, September 7. More on wire transfers.
• Checks: under Regulation CC, a deposit made on a day that is not a banking day for your bank may be treated as deposited on the next banking day. A mobile check deposit on Labor Day can count as a Tuesday deposit.
• ATMs, debit cards and mobile apps: run by banks and card networks, so a Federal Reserve holiday does not switch them off. Transfers between two accounts at the same bank may post on the holiday, depending on the bank.
• Instant payments: the FedNow Service has “a 24-hour business day each day of the week, including weekends and holidays.” If both banks offer it, an instant transfer can arrive on Labor Day. The payments overview compares the options.

Rent, bills and paydays around Labor Day

Because Labor Day falls between September 1 and 7, it can collide with payments due at the start of the month.

• Pay or bills due on the 1st: in 2031, Labor Day is Monday, September 1 (calculated). An ACH payment due that day settles on Friday, August 29 or Tuesday, September 2, 2031, depending on how the sender schedules it.
• Friday paydays: not affected, because the holiday is a Monday. A payroll dated Friday, September 3, 2027 settles as usual.
• Monday paydays: a payday that falls on Labor Day has to move. Which day it moves to is your employer’s policy, not a Federal Reserve rule, and the payroll provider’s deadline comes before the Fed’s. Our direct deposit guide explains early and late pay.

Since September 18, 2026, the Nacha Operating Rules require a receiving bank to make a regular ACH credit available by 9:00 a.m. its local time on the settlement date.

The NYSE also closes on Labor Day in each year of its 2026 to 2028 holiday calendar, and the Postal Service lists Labor Day as a holiday without regular mail service in its 2026 schedule.

Frequently asked questions

Will bank transactions go through on Labor Day?

Card payments, ATM withdrawals and transfers within one bank can go through, depending on the bank. Transfers to another bank by ACH or wire settle on Tuesday, the next business day. FedNow transfers are the exception where both banks take part.

How does Labor Day affect a business-day deadline?

Labor Day is not counted as a business day. Five business days after Wednesday, September 1, 2027 is Thursday, September 9, 2027, because Monday, September 6 is skipped. The business days calculator works out any other date.

Is it a bank holiday today?

The are banks open today page shows the Federal Reserve status for today, tomorrow and the next seven days.