The United States observes 11 federal holidays per year, and while these are mandatory for federal employees, private sector employers have no legal obligation to grant paid time off. In 2027, federal holidays include several days that fall on weekends, which means substitute days may apply for federal workers.

Understanding federal holidays matters for payroll, scheduling, and employee expectations — even in the private sector where most companies observe at least some federal holidays.

This article is general information, not legal advice.

Key Takeaways

  • The US has 11 federal holidays in 2027
  • Federal holidays are mandatory for federal employees; private sector employers choose which to observe
  • When a federal holiday falls on a Saturday, it is observed on the preceding Friday
  • When a federal holiday falls on a Sunday, it is observed on the following Monday
  • State and local governments may observe additional holidays beyond the federal list

All 11 Federal Holidays in 2027

Holiday Date Day Observed On
New Year’s Day 1 January Friday 1 January (Friday)
Martin Luther King Jr. Day 18 January Monday 18 January (Monday)
Presidents’ Day 15 February Monday 15 February (Monday)
Memorial Day 31 May Monday 31 May (Monday)
Juneteenth National Independence Day 19 June Saturday 18 June (Friday)
Independence Day 4 July Sunday 5 July (Monday)
Labor Day 6 September Monday 6 September (Monday)
Columbus Day 11 October Monday 11 October (Monday)
Veterans Day 11 November Thursday 11 November (Thursday)
Thanksgiving Day 25 November Thursday 25 November (Thursday)
Christmas Day 25 December Saturday 24 December (Friday)

Note: Juneteenth (19 June) falls on a Saturday, so the observed day is Friday 18 June. Independence Day (4 July) falls on a Sunday, so the observed day is Monday 5 July. Christmas Day (25 December) falls on a Saturday, so the observed day is Friday 24 December.

Federal Employees vs Private Sector

Federal Employees

Federal employees are entitled to:

  • Paid time off on all 11 federal holidays
  • Substitute days when a holiday falls on a weekend
  • If required to work on a holiday, premium pay (at least time-and-a-half)

The Federal Government holidays are codified in 5 U.S.C. 6103.

Private Sector Employees

Private sector employers have no legal requirement to provide paid time off on federal holidays. However:

  • Most large employers observe at least 6-10 federal holidays
  • Employment contracts or company policy may guarantee specific holidays
  • State laws may require some employers to observe certain holidays

State and Local Government Employees

State and local government employees follow their state’s holiday calendar, which may differ from the federal list. States often add holidays like:

  • Day after Thanksgiving
  • Presidents’ Day
  • State-specific holidays

How Federal Holidays Affect Pay

Salaried Exempt Employees

Salaried exempt employees under the Fair Labor Standards Act (FLSA) continue to receive their full salary regardless of holidays. Federal holidays are effectively paid time off.

Salaried Non-Exempt Employees

Salaried non-exempt employees are entitled to pay for hours actually worked. Federal holidays are not automatically paid unless the employer provides for it.

Hourly Non-Exempt Employees

Hourly employees are only paid for hours actually worked. Federal holidays are not paid time off unless the employer’s policy provides for it.

Working on a Federal Holiday

For federal employees required to work on a holiday:

  • Premium pay of at least time-and-a-half
  • A substitute holiday to be taken at another time
  • The specific entitlement depends on the employee’s pay schedule

For private sector employees, there is no statutory requirement for premium pay on holidays — but many employers offer it as a benefit.

Substitute Day Rules

The federal government follows a clear rule for weekends:

Holiday Falls On Observed On
Saturday Preceding Friday
Sunday Following Monday

In 2027, three holidays require substitute days:

Holiday Actual Date Observed Date
Juneteenth Saturday 19 June Friday 18 June
Independence Day Sunday 4 July Monday 5 July
Christmas Day Saturday 25 December Friday 24 December

Important: Substitute days only apply to federal employees and government operations. Private sector employers are not required to observe substitute days unless their policy provides for it.

Common Employer Challenges

1. Inconsistent Holiday Policies

Many private companies observe some but not all federal holidays. Create a clear holiday policy that specifies which days the company observes and communicate it to all employees.

2. State vs Federal Differences

State holidays may add days beyond the federal list. If you operate in multiple states, your holiday policy needs to account for state-specific requirements.

3. Religious Holidays

Federal holidays are secular, but employees may request time off for religious holidays not on the federal calendar. Under Title VII, employers must reasonably accommodate religious practices.

4. Floating Holidays

Some companies offer “floating holidays” — personal days employees can use for holidays not on the company calendar. This helps accommodate diverse religious and cultural observances.

Frequently Asked Questions

Do private employers have to give time off on federal holidays?

No. There is no federal law requiring private employers to provide paid time off on federal holidays. Entitlements depend on the employment contract, company policy, or collective bargaining agreement.

What if a federal holiday falls on a weekend?

For federal employees, the holiday is observed on the preceding Friday (Saturday holidays) or following Monday (Sunday holidays). Private sector employers are not required to provide substitute days.

Are federal holidays paid for hourly employees?

Only if the employer’s policy provides for it. Hourly employees are generally paid only for hours actually worked, and federal holidays are not automatically paid.

Do federal contractors get federal holidays off?

Federal contractors are not automatically entitled to federal holidays. Their entitlements depend on their employment contract and the terms of the government contract.

What states have additional holidays?

Many states observe additional holidays, including the day after Thanksgiving, Presidents’ Day, and state-specific holidays. Check your state’s specific holiday calendar for details.


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