Many employees incorrectly think they aren’t eligible for overtime pay. Maybe “manager” appears in your job title, you’re paid a salary, or you’ve simply never received overtime no matter how many hours you work.
Those facts don’t necessarily determine your rights. Under the Fair Labor Standards Act (FLSA), nonexempt employees generally must receive at least time-and-a-half their regular rate for hours worked over 40 in a workweek.
Understanding your classification, which hours count as work, and the signs of unpaid overtime can help you determine whether you may be owed additional pay.
How Does Overtime Pay Work Under the FLSA?
The FLSA is a federal law that sets wage-and-hour requirements. It’s the reason 40 is an important number, because it requires paying time and a half to employees who work more than 40 hours in one week.
“Time and a half” means at least 1.5 times your regular rate. If your regular rate is $20 per hour and you work 45 hours, for example, your overtime rate would generally be $30 per hour. Working five overtime hours would earn you $150 in overtime pay.
State overtime laws may provide additional protections. When federal and state overtime laws both apply, the worker is entitled to overtime under the higher standard.
Being Paid Hourly Does Not Always Tell You Whether You Qualify
Whether you’re paid hourly or salaried, or on another basis such as commissions or piece rate, does not by itself determine whether you are entitled to overtime. Those are simply how your employer pays you.
The important question is whether an exemption from the FLSA’s overtime requirements applies. Depending on the exemption, that can involve both the work you actually perform and how you are compensated.
Common FLSA Exemptions Workers Should Know About
Common FLSA exemptions include certain executive, administrative, professional, computer, and outside-sales employees. Outside sellers, such as solar or medical device sales representatives, work away from their employer’s place of business.
Each one has specific requirements that are determined by the FLSA and regulations issued by the U.S. Department of Labor, as well as court precedents. If an exemption doesn’t apply, you may be entitled to overtime.
Your job title does not settle the issue. Being called a “manager,” for example, does not mean you satisfy the executive exemption. Your actual responsibilities are key.
Can a Salary Mean You Are Not Entitled to Overtime?
Many of the overtime exemptions apply only if you’re paid on a salary basis, but receiving a salary does not automatically eliminate overtime rights.
Being paid on a salary basis generally means you receive a set amount of pay that does not change based on the quality or quantity of your work. With certain exceptions, your employer can’t reduce that salary because you worked fewer hours or because it says you missed productivity targets. If you perform any work during the week, you generally receive your full salary whether you work 30 hours or 50.
Salary basis is only one requirement for certain FLSA exemptions. You must also satisfy other requirements for an exemption to apply.
What Counts as Compensable Work Time?
Overtime eligibility is only part of the equation. To know whether you worked more than 40 hours, you first have to know which hours count. Compensable work time generally includes the time you spend doing work your employer requires or allows you to perform, even when it’s outside your scheduled shift.
Employers must also keep records of the hours employees work. But an employer is not excused from paying for compensable time just because it didn’t record the hours.
Working Before or After Your Shift
Work before or after your scheduled shift can count toward overtime. Depending on the circumstances, that might include preparing for work before clocking in, finishing assignments after clocking out, or responding to required work communications.
If that additional time pushes a nonexempt employee over 40 hours for the workweek, it may require additional overtime pay.
What About Unauthorized Overtime?
Your employer can require you to get approval before working overtime, but a lack of approval doesn’t necessarily mean it doesn’t have to pay you. An employer generally cannot avoid paying overtime simply by calling the additional work “unauthorized.”
Signs You May Be Missing Overtime Pay
Signs of potential unpaid overtime include:
- Working more than 40 hours without receiving overtime pay.
- Working before clocking in or after clocking out.
- Having hours removed or reduced on your timesheet.
- Being told your salary or job title makes you exempt from overtime.
- Being classified as exempt even though your actual duties may not meet the exemption requirements.
These signs do not necessarily mean your employer violated the law. But they may warrant a closer look at your hours and classification.
What Should You Do If You Believe You Are Owed Overtime?
If you believe you were denied overtime or incorrectly classified as exempt, consider speaking with an overtime lawyer early. An attorney can evaluate your duties, compensation, working hours, applicable exemptions, and relevant state law.
Preserve records that may document your hours and pay, such as schedules, time records, pay statements, work-related emails or messages. It’s a good idea to keep your own records of hours worked.
Protect Your Right to Overtime Pay with Outten & Golden
If you regularly work more than 40 hours without overtime, perform work off the clock, or believe you may have been misclassified as exempt, an employment attorney can help determine whether you may be owed unpaid overtime.
If you have questions about your overtime rights, call Outten & Golden at 877-468-8836 or complete an online intake form to discuss your circumstances. Our client intake team is available Monday through Friday from 8:30 a.m. to 9:00 p.m. Eastern Time.
Learn More About Overtime Rights
This article is provided for general informational purposes only. It is not legal advice and may not reflect the most current law or apply to your facts or jurisdiction. Reading this article or using this website does not create an attorney-client relationship with Outten & Golden LLP. You should consult a qualified attorney about your specific situation.
