More Salaried Employees Will Qualify for Overtime Starting Later This Year

time money

The Department of Labor has issued new rules about when employers must pay overtime to salaried workers, and it will affect a lot of lower-paying salaried jobs. Currently, salaried employees performing only executive, administrative, and professional functions are not required to receive overtime pay if they make at least $455/week ($23,660/year). Starting December 1, 2016, this threshold jumps up to $913/week ($47,476/year) – double the current level. If you have salaried employees who make less than $47,476 per year, you should start evaluating your compensation packages, overtime policy, and time tracking now so that you will be ready when the rule comes into effect in just six months. For more information, you can contact us, your payroll provider, or visit the Department of Labor website at