Can Salaried Employees Receive Overtime?

Under most circumstances, salaried employees are not entitled to overtime pay. However, certain conditions can entitle salaried employees to overtime compensation, depending on their salary level and job duties. To better understand this, let’s explore the rules and exemptions under the Federal Fair Labor Standards Act (FLSA).

According to the FLSA, employees must meet two key criteria to qualify as exempt from overtime pay. First, they must earn at least $684 per week, which amounts to $35,568 annually. This is the minimum salary threshold set by the U.S. Department of Labor as of 2022.

Second, the employee must perform specific types of job duties that qualify for an exemption. These exemptions typically apply to executive, administrative, professional, and certain computer-related positions. If an employee’s role meets these exemptions and their salary exceeds the threshold, they are generally not eligible for overtime pay.

However, if a salaried employee earns less than $684 per week or their job duties do not meet the FLSA exemption criteria, they are classified as “non-exempt” and may be entitled to overtime pay. Non-exempt employees must be compensated at one-and-a-half times their regular hourly rate for any hours worked beyond 40 in a workweek.

It is important to note that some states have laws that impose stricter requirements or higher salary thresholds for overtime exemptions than federal law.

If you are a salaried employee working more than 40 hours per week and believe you may be entitled to overtime pay, it is critical to understand your rights. At 770GoodLaw, we are dedicated to helping employees navigate wage and hour disputes. Contact us today for a free case evaluation to determine if you have a valid claim for unpaid overtime.