Think being salaried means no overtime pay? Think again. Many employees assume that once they’re paid a salary, they’re not entitled to extra compensation for working long hours. But the truth is more nuanced—and often misunderstood.
Whether you’re an employee wondering about your rights, or an employer trying to stay compliant, understanding how overtime laws apply to salaried workers is essential. Let’s break it all down.
What Does It Mean to Be a Salaried Employee?
Before diving into overtime rules, it’s important to clarify what “salaried” actually means.
A salaried employee is someone who is paid a fixed amount of money per pay period—regardless of how many hours they work. Unlike hourly workers, their pay doesn’t fluctuate based on hours worked each week.
But being salaried doesn’t automatically mean you’re exempt from overtime laws. That’s where the confusion starts.
Exempt vs. Non-Exempt: The Key Difference
The Fair Labor Standards Act (FLSA) governs federal overtime rules, and the classification of a job as “exempt” or “non-exempt” is crucial.
What Is an Exempt Employee?
An exempt employee is not entitled to overtime pay under FLSA. To qualify as exempt, a salaried worker must meet certain criteria:
- Be paid at least $684 per week ($35,568 per year)
- Be paid on a salary basis
- Perform exempt job duties, such as executive, administrative, or professional tasks
What Is a Non-Exempt Employee?
A non-exempt employee, on the other hand, is entitled to overtime pay, even if they’re salaried. They must be paid 1.5 times their regular rate for any hours worked beyond 40 in a week.
Key takeaway: Being salaried doesn’t automatically mean you’re exempt. Your job duties and salary level both matter.
When Can a Salaried Employee Get Overtime Pay?
There are specific situations when salaried workers qualify for overtime:
1. Salaried But Non-Exempt
A salaried employee who earns below the threshold or whose duties don’t meet exemption criteria is non-exempt and eligible for overtime.
Example: A salaried office assistant making $32,000 a year who doesn’t supervise others or exercise independent judgment is likely non-exempt.
2. Misclassified Employees
Some employers mistakenly or intentionally misclassify workers as exempt. If a salaried employee is doing non-exempt duties, they may be owed back pay for overtime.
3. State Laws Can Be Stricter
States like California, New York, and Washington often have stricter labor laws than federal standards. Depending on where you live, you might qualify for overtime even if you’re exempt under federal law.
How to Know If You’re Eligible for Overtime
If you’re unsure about your classification, ask yourself the following:
- Do I make at least $684 per week?
- Are my job duties mainly managerial, professional, or administrative?
- Do I make independent decisions regularly?
If you answered “no” to any of these, you might be non-exempt and entitled to overtime—even on a salary.
Common Myths About Salaried Employees and Overtime
Let’s bust a few myths that cause confusion:
- Myth 1: All salaried employees are exempt → ❌ False
- Myth 2: If I work overtime voluntarily, I don’t get paid for it → ❌ False
- Myth 3: Employers can avoid overtime by switching someone to salary → ❌ False
Reality: The law is based on job duties and salary level, not just how you’re paid.
What to Do If You Think You’re Owed Overtime
If you suspect you’re being denied overtime unfairly:
- Keep a record of your hours worked
- Review your job description and actual duties
- Speak to HR or your employer
- File a complaint with the U.S. Department of Labor or your state’s labor agency
You may also consider consulting an employment attorney for advice on back pay or misclassification.
Why Employers Should Take This Seriously
For employers, misclassifying workers or denying overtime can lead to:
- Costly lawsuits
- Back pay settlements
- Damage to company reputation
Proper classification and compliance with FLSA and state laws is essential to avoid legal trouble.
Final Thoughts: Know Your Rights
So, can a salaried employee get overtime pay? Yes—if they are non-exempt.
Being on a salary doesn’t automatically mean you give up your right to fair compensation.
Understanding the FLSA rules, state regulations, and your actual job duties can help you determine where you stand.
Andre Cuevas provides career insights, job search strategies, and professional advice to help individuals navigate the job market and achieve their career goals.
