What is the non exempt salary threshold?
Beginning January 1, 2020, the salary threshold increases, making a number of previously exempt employees nonexempt. The new FLSA salary threshold is $35,568 annually or $684 per week. Employees must also be paid on a salary basis and have executive, administrative, or professional job duties.
Can a exempt employee be paid the same salary?
Exempt Employees and Rules Requiring Specified Hours. You probably are aware that exempt employees generally should be paid the same salary regardless of the number of hours they work or the quantity of work they produce.
What are the rights of an exempt employee?
Rights of exempt vs. non-exempt employees Non-exempt employees have rights under the FLSA, including minimum wage and overtime pay. But exempt employees do not have those rights. The only real “right” that the exempt employee has under FLSA is to be paid their guaranteed minimum salary in any week that they perform some work.
How many hours does an exempt employee work?
Most employers expect their exempt employees to work the number of hours necessary to get their jobs done. It doesn’t matter if that takes more or fewer than 40 hours per week. Even if your exempt employee works 70 hours in a week, you are still only required to pay them their standard base salary.
Can a manager deduct pay from an exempt employee?
This means that whether an employee works five hours or 55 hours in a week, the paycheck is the same. Managers can’t deduct pay from an exempt employee when she takes long lunches or comes in late.
What makes a salary exempt employee an exempt employee?
The terms “salary exempt employees” and “non-exempt employees” come from the Fair Labor Standards Act (FLSA). In short, the FLSA requires that employers classify all positions as either exempt or non-exempt. Non-exempt employees are covered by provisions in the FLSA, and exempt employees are not. What makes a position exempt?
Do you have to work certain hours as an exempt employee?
Exempt Employees and Rules Requiring Specified Hours. In fact, the Department of Labor (DOL), in the preamble to revised exemption regulations, stated that employers may require exempt employees to work a specific schedule and to record and track hours without affecting their exempt status.
Can a salary be docked for an exempt employee?
You should not, however, tie the payment of an exempt employee’s salary to the number of hours worked in a week. You also should not dock an exempt employee’s salary for partial day absences.
When do exempt employees have to pay overtime?
Otherwise, docking their pay has another side. Employers must reclassify them to nonexempt and pay overtime when the same employees work more than 40 hours during the work week. The salary test for exempt classification is that employees receive a predetermined salary for each week they work.