Federal holiday

What is a federal holiday?

A federal holiday is a public holiday officially recognized by the United States federal government. On these days, all non-essential federal government offices are closed, and federal employees are typically given the day off with pay.

While private employers are not legally required to observe federal holidays, many choose to close operations or offer paid time off in alignment with standard business practices and employee expectations.

As of 2025, the US recognizes 11 federal holidays, including:

• New Year’s Day (January 1)
• Martin Luther King Jr. Day (third Monday in January)
• Presidents Day (third Monday in February)
• Memorial Day (last Monday in May)
• Juneteenth (June 19)
• Independence Day (July 4)
• Labor Day (first Monday in September)
• Columbus Day (second Monday in October)
• Veterans Day (November 11)
• Thanksgiving Day (fourth Thursday in November)
• Christmas Day (December 25)

When a holiday falls on a weekend, it is typically observed on the nearest weekday (e.g., the following Monday or preceding Friday).

Note that not all US states observe all of these holidays, and that some states have their own holidays. You can see a full breakdown of holidays by state in our free US State Explorer tool.

Why does this matter for employers?

While federal holidays primarily apply to public-sector workers, private employers often follow the same calendar to remain competitive and meet employee expectations. Employers should clearly communicate which holidays are observed in employment contracts, handbooks, and internal calendars.

Offering paid leave on federal holidays can improve employee morale and retention. However, in industries where operations continue year-round, employers must decide how to handle holiday scheduling, pay premiums (if applicable), and alternative time-off arrangements.

For hourly workers (especially non-exempt employees), holiday pay policies should be clearly documented to avoid confusion or disputes.

How can Remote help?

When employing US-based workers through Remote, you can define your own company holiday calendar, including which federal holidays to observe. Remote helps manage time-off policies, holiday pay, and compliance with state-specific rules around holiday pay practices. Learn more.