State Laws
Overtime Exemptions

Exemptions from the right to overtime pay

Although most workers do have the right to be paid overtime, some workers do not have this right. These workers are called "exempt" from overtime. If your employer doesn't pay you overtime, you should check to see if you are exempt.

Normally, employees with a lot of responsibility and freedom on their jobs are exempt from overtime. These employees frequently get paid by salary and not by the hour. But it's not always that simple. Just because you have a lot of responsibility, or just because you get paid by salary, doesn't mean you should not be getting overtime as well. There are very specific tests in the laws to find out who is exempt and who is not. What matters is what you do, not how you are paid.

Exemptions vary from state to state. Even if you think you are exempt under one of the tests listed below, your state might have better laws that give you the right to be paid overtime.

"Professional" employees

"Professional" employees are exempt from laws requiring overtime pay. These employees have received high-level training and usually an advanced degree. Professional employees also make important decisions without a lot of supervision.

Under federal law, people who normally qualify as professionals include lawyers (but not paralegals), doctors, dentists (but not hygienists), registered nurses (but not practical nurses), accountants, architects, actuaries, scientists with advanced degrees, teachers (but not day care providers), and highly trained computer professionals. To be an exempt "professional," you also have to make over $250 a week.

Some states define "professional" more narrowly than federal law, and this might give you the right to overtime pay even if your job seems somewhat professional. Because this area is very complicated, you should contact a lawyer who specializes in employment law (an employment attorney) if you think you have been denied overtime because you were misclassified as a professional.

"Administrative" employees

If you are legally considered an "administrator," you are not entitled to overtime pay. Under a general legal test for who is an administrator, you will probably not be an exempt administrator unless you meet all of the following requirements:

You make at least $250 per week, and Your main responsibilities include doing sophisticated office work that has something to do with the company's policies or business operations, and You spend a lot of time exercising "discretion and independent judgment," i.e., you are normally required to make important decisions without a lot of supervision.

If you don't do all of the above things, you are probably not an "administrator," and you will be entitled to overtime.

Some states define "administrative" more narrowly than federal law, and this might give you the right to overtime pay even if your job seems somewhat administrative. Contact an employment lawyer if you think you have been denied overtime because you were misclassified as an administrator.

"Executive" employees

Executive employees are exempt from laws requiring overtime pay.

Most people think that executives are employees who wear fancy suits and work in tall office buildings. Although this is normally true, overtime laws have a different definition of "executive". This is the definition to examine if your employer is not paying you overtime because you manage or direct other people's work.

Under the general legal test for who is an executive you will probably not be exempt unless you meet all of the following requirements:

You make at least $250 per week, and You regularly direct the work of at least two full time employees, and Your main responsibilities include "managing" the company, a subdivision of the company, or an entire department. "Managing" means interviewing, hiring, firing, supervising, training, disciplining, evaluating and scheduling employees. Managing can also mean planning how work will be done at your company and having responsibility for things like inventory and payroll.

If you don't do all of the above things, you are probably not an "executive," and you will be entitled to overtime.

Some states define "executive" more narrowly than federal law, and this might give you the right to overtime pay even if your job seems somewhat "executive". Contact an employment attorney if you think you have been denied overtime because you were misclassified as an "executive".

Outside salespersons

If you travel a lot to make sales, you may be an "outside salesperson" who does not have the right to get overtime under federal law. But it's not quite that simple. If your boss wants to avoid paying you overtime because you are an outside salesperson, he must make sure that (1) your main responsibility is to make sales of products away from the company's offices or showroom, and (2) the amount of time you spend on other types of work (such as deliveries or servicing) is small compared to how much of that kind of work is done at your company.

Some states define "outside salesperson" more narrowly than federal law, and this might give you the right to overtime pay even if you spend a lot of time on the road. Contact an employment lawyer if you think you have been denied overtime because you were misclassified as an "outside salesperson."

Other exempt employees

There are a few other kinds of employees that do not have the right to overtime. These include: most truck drivers, most live-in domestic workers, and some agricultural workers.

Am I exempt because my employer calls me exempt?

No, it makes no difference if your employer calls you exempt or non-exempt. It also doesn't matter if your employer gives you a title that makes it sound like you should not be paid overtime. For example, some employers will call workers "assistant managers" to avoid paying overtime when those employees are actually regular line workers who are not exempt and should be paid overtime. What matters is what you do, not what you are called.

Services To Consider
Locate a local
employment attorney:
Employment Videos
   
 
Document Center
 

Affordable & Professional

Select a document type from the list below. Most documents are prepared within just 48 hours.