Am I an Exempt or Non-Exempt Employee?
Knowing whether you are considered a non-exempt or an exempt employee is critical information in order to determine whether you have certain rights — such as the right to overtime pay in certain circumstances — under the Fair Labor Standards Act (FLSA). In order for an employee to be considered exempt (and, therefore, not to be eligible for certain rights under the FLSA), the employee must generally pass three tests: a salary basis test, a salary level test, and a duties test. In order to be considered exempt, the employee must pass all three of those tests. Otherwise, the employer cannot consider the employee exempt and deny overtime pay, for example.
An experienced Palm Beach Gardens wage and hour attorney can provide more information about the three requirements, and we are here to answer your questions if you need assistance filing an FLSA claim for unpaid wages.
Salary Requirements: Salary Basis and Salary Level
The two salary requirements for being an exempt employee are two separate requirements that are sometimes described as two prongs of an overarching salary test. Those salary requirements include the salary basis test and the salary level test.
The salary basis test asks whether the employee is paid a fixed, agreed-upon salary that is not affected by the number of hours the employee works or the overall quality of the employee’s work. Next, the salary level test asks whether an employee earns a particular salary or higher. As of July 1, 2024, in order to be exempt, an employee must earn at least $43,888. As of January 1, 2025, an employee must earn at least $58,656 to be exempt.
Duties Test
In order to be considered exempt, in addition to the two salary requirements discussed above, an employee must have a job with the duties identified as exemptions under the FLSA. The duties test exemptions include jobs that are primarily one of the following: executive, administrative, professional, computer, or outside sales.
The FLSA provides detailed information about each category of employees who are exempt and the duties associated with those positions.
If you, in your current work situation, do not pass all three of the tests, then you may be entitled to overtime pay — this is true even if you are a salaried employee.
Contact Our Palm Beach Gardens Wage and Hour Law Attorneys
If you have any questions about your employment classification and your rights under the FLSA, it is essential to seek legal advice to find out if you have been underpaid and if you may be able to file a claim for unpaid wages. One of the experienced Palm Beach Gardens wage and hour attorneys at Sconzo Law Office can assess your work situation and can provide you with more information about your status as an exempt or non-exempt employee. If your employer has not properly classified you and has denied you certain rights or forms of pay under the FLSA, we can begin working with you today to file a claim. Contact our firm to find out more about the services we provide to employees in South Florida.
Source:
dol.gov/agencies/whd/fact-sheets/17a-overtime
