Does the classification salaried but also getting paid overtime exist?

Short Answer: Yes. As with all employee classifications, the answer depends upon two criteria rate of pay and job duties. The Fair Labor Standards Act is a federal law that distinguishes the differences between exempt and non-exempt employees. Non-exempt employees are commonly, but not always, classified as hourly and are eligible for overtime pay. Exempt […]

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2018 HSA contribution limit

Short Answer: Yes.

As with all employee classifications, the answer depends upon two criteria rate of pay and job duties. The Fair Labor Standards Act is a federal law that distinguishes the differences between exempt and non-exempt employees. Non-exempt employees are commonly, but not always, classified as hourly and are eligible for overtime pay. Exempt employees are usually salaried and are ineligible for overtime pay.

Exempt Employees Do Not Receive Overtime

The U.S. Department of Labor states that non-exempt employees must be paid overtime at one and a half times their regular pay. HR Specialist states that exempt employees must not be paid overtime and offers a simple checklist to help in classifying exempt job categories.

Exempt Criteria

FLSA sets the basis for exempt employees with two tests:

  • Passing the Salary Basis Test – Employees earning $455 per week (or $23,360 annually) AND
  • Meeting certain job classifications such as Executive, Professional, Administrative, Computer Professional, or Outside Sales

Sample Position – Executive Assistant – Exempt or Non-Exempt

If your Executive Assistant earns more than $455 per week, he or she could be classified as exempt if their duties weigh heavier on high-level duties such as

  • making important decisions
  • performing managerial duties
  • performing general business operations of the employer or employer’s customers
  • requiring independent judgement and discretion
  • making decisions on matters of significance.

On the other hand, if the duties of the executive assistant mostly comprise of performing administrative functions to support higher level executives, rather than serve functions of actually setting the policies of the business, then the job would likely be classified as non-exempt.

As a reminder, please check your local laws by contacting your Wage and Hour Local Division Office.

Helpful Link:

Administrative Assistant Job Description – Samples of Administrative Job Descriptions

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