The article presents information on the white-collar overtime exemption under which the employer is responsible to check the executive, administrative or professional categories of the employee. It further informs that an exempt employee is paid full salary in spite of any variation in the quantity ...
1. Receive a salary The first criterion for this exemption is that exempt employees must be salary instead of hourly workers. However, being salaried does not necessarily mean an employee is exempt. There are many nonexempt workers who receive a salary rather than hourly pay. 2. Earn above t...
Wages are often paid to semi-skilled or unskilled workers as they climb up the ranks at a company. A salaried (typically also called “exempt”) employee has a set annual compensation. The annual salary is divided by the number of pay periods for a weekly, bi-weekly or monthly paycheck, ...
However, if the employee is exempt, he does not have to receive additional pay for overtime work. To be considered an exempt employee, the individual must receive a salary rather than hourly pay. As stated above, the job duties must be executive, professional, or administrative in nature. ...
salary basis. These employees generally have more potential for job growth than an hourly worker and have a steady stream of income that they can look forward to each payday. Notably, on occasion, a salaried employee does not meet the FLSA exempt requirements and is therefore nonexempt. In ...
What is an exempt employee? The phrase exempt employee refers to workers defined by the Fair Labor Standards Act (FLSA). It does not entitle exempt employees to overtime pay or the minimum wage. Exempt workers work on a salary rather than hourly, and their employment is executive or professi...
Commonly, exempt employees are salaried by nature of their positions, leading to the common misconception that salaried employees are all exempt. This is not actually the case; if an employee is paid a salary, the employer can still owe overtime pay for hours worked in excess, unless the emp...
The amount of taxes withheld will depend on the employee's salary, as well as the information they provide on their W-4 formopens in a new tab. What Is a Nonexempt Employee? A nonexempt employee is “not exempt” from FLSA provisions, so they are eligible for minimum wage and over...
Exempt employees earn a salary, not an hourly wage. They areexemptfromreceiving overtime pay and cannot qualify to receive it. Exempt employees make a minimum of $35,568 a year and are generally skilled professionals working in white-collar positions. Doctors, lawyers, accountants, HR managers,...
Understanding Exempt Employees In any workplace, there are two types of employees: exempt and nonexempt. Exempt employees are those who are exempt from minimum wage and overtime pay requirements. This is because exempt employees are paid asalary rather than an hourly wage, and they work in wh...