US Department of Labor Is Expanding Employees Eligible for Overtime

US Department of Labor Is Expanding Employees Eligible for Overtime

Bowman & Co
Posted by Bowman & Co on Jan 20, 2020 10:00:00 AM

Effective January 1, 2020, all employees must earn at least $684 per week (or $35, 568 annually) before they can be exempt from overtime. The current threshold is $455 (or $23,660 annually).

Seal_of_the_United_States_Department_of_Labor.svgBeginning with the new year, any employee making less than $684 must be paid time and a half for any hours in excess of 40 in a work week. In addition, employees paid a total annual compensation of $107,432 or more, including non-discretionary bonuses and incentive payments (commissions) will be exempt from overtime if they regularly preform at least one duty of an exempt executive, administrative or professional employee.

 Visit the DOL website to learn more about these changes to overtime eligibility and definitions/details concerning this law. To understand how these adjustments may affect your specific organization, contact your trusted legal advisor. 

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