{"id":107941,"date":"2024-11-28T00:52:08","date_gmt":"2024-11-28T00:52:08","guid":{"rendered":"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/"},"modified":"2024-11-28T00:52:08","modified_gmt":"2024-11-28T00:52:08","slug":"what-is-the-salary-threshold-for-exempt-status","status":"publish","type":"post","link":"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/","title":{"rendered":"What is the salary threshold for exempt status?"},"content":{"rendered":"<p>If you work in the United States and are classified as an exempt employee, it means that you are not entitled to overtime pay under the Fair Labor Standards Act (FLSA). However, not all employees can be classified as exempt. In order to be considered exempt, employees must meet certain requirements set by the Department of Labor, including earning a salary that meets a minimum threshold.<\/p>\n<p>The salary threshold for exempt status is an important factor in determining whether an employee can be considered exempt from overtime pay. In order to qualify for exempt status, employees must earn at least the minimum salary threshold set by the Department of Labor. As of January 2020, the minimum salary threshold for exempt status is $684 per week, or $35,568 annually.<\/p>\n<p>This means that in order to be classified as exempt, employees must earn at least $684 per week, regardless of how many hours they work. If an employee earns less than this amount, they may be classified as non-exempt and are entitled to overtime pay for any hours worked over 40 in a workweek.<\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_62 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#FAQs\" title=\"FAQs:\">FAQs:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#1_What_happens_if_an_employee_does_not_meet_the_salary_threshold_for_exempt_status\" title=\"1. What happens if an employee does not meet the salary threshold for exempt status?\">1. What happens if an employee does not meet the salary threshold for exempt status?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#2_Can_employers_pay_exempt_employees_hourly_instead_of_a_salary\" title=\"2. Can employers pay exempt employees hourly instead of a salary?\">2. Can employers pay exempt employees hourly instead of a salary?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#3_Are_there_any_exceptions_to_the_salary_threshold_for_exempt_status\" title=\"3. Are there any exceptions to the salary threshold for exempt status?\">3. Are there any exceptions to the salary threshold for exempt status?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#4_Is_the_salary_threshold_for_exempt_status_the_same_in_every_state\" title=\"4. Is the salary threshold for exempt status the same in every state?\">4. Is the salary threshold for exempt status the same in every state?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#5_Can_employers_offer_additional_compensation_such_as_bonuses_or_commissions_to_help_employees_meet_the_salary_threshold_for_exempt_status\" title=\"5. Can employers offer additional compensation, such as bonuses or commissions, to help employees meet the salary threshold for exempt status?\">5. Can employers offer additional compensation, such as bonuses or commissions, to help employees meet the salary threshold for exempt status?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#6_Is_the_salary_threshold_for_exempt_status_adjusted_regularly\" title=\"6. Is the salary threshold for exempt status adjusted regularly?\">6. Is the salary threshold for exempt status adjusted regularly?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#7_Can_employers_reduce_an_employees_salary_to_bring_them_below_the_salary_threshold_for_exempt_status\" title=\"7. Can employers reduce an employee&#8217;s salary to bring them below the salary threshold for exempt status?\">7. Can employers reduce an employee&#8217;s salary to bring them below the salary threshold for exempt status?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#8_Are_part-time_employees_eligible_for_exempt_status\" title=\"8. Are part-time employees eligible for exempt status?\">8. Are part-time employees eligible for exempt status?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#9_Can_exempt_employees_be_required_to_work_overtime_without_additional_pay\" title=\"9. Can exempt employees be required to work overtime without additional pay?\">9. Can exempt employees be required to work overtime without additional pay?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#10_Can_employees_be_exempt_from_both_the_salary_threshold_and_the_duties_test\" title=\"10. Can employees be exempt from both the salary threshold and the duties test?\">10. Can employees be exempt from both the salary threshold and the duties test?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#11_Are_independent_contractors_eligible_for_exempt_status\" title=\"11. Are independent contractors eligible for exempt status?\">11. Are independent contractors eligible for exempt status?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#12_Can_exempt_employees_be_paid_on_a_commission-only_basis\" title=\"12. Can exempt employees be paid on a commission-only basis?\">12. Can exempt employees be paid on a commission-only basis?<\/a><\/li><\/ul><\/nav><\/div>\n<h3><span class=\"ez-toc-section\" id=\"FAQs\"><\/span>FAQs:<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<h3><span class=\"ez-toc-section\" id=\"1_What_happens_if_an_employee_does_not_meet_the_salary_threshold_for_exempt_status\"><\/span>1. What happens if an employee does not meet the salary threshold for exempt status?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nIf an employee does not meet the salary threshold for exempt status, they must be classified as non-exempt and are entitled to overtime pay for any hours worked over 40 in a workweek.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"2_Can_employers_pay_exempt_employees_hourly_instead_of_a_salary\"><\/span>2. Can employers pay exempt employees hourly instead of a salary?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nNo, in order to be classified as exempt, employees must be paid on a salary basis. This means they must receive a predetermined amount of pay each pay period regardless of the quantity or quality of work performed.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"3_Are_there_any_exceptions_to_the_salary_threshold_for_exempt_status\"><\/span>3. Are there any exceptions to the salary threshold for exempt status?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nYes, certain employees, such as teachers, doctors, and lawyers, are exempt from the salary threshold requirement. These employees may be classified as exempt regardless of their salary level.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"4_Is_the_salary_threshold_for_exempt_status_the_same_in_every_state\"><\/span>4. Is the salary threshold for exempt status the same in every state?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nYes, the salary threshold for exempt status is a federal requirement set by the Department of Labor and is the same in every state.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"5_Can_employers_offer_additional_compensation_such_as_bonuses_or_commissions_to_help_employees_meet_the_salary_threshold_for_exempt_status\"><\/span>5. Can employers offer additional compensation, such as bonuses or commissions, to help employees meet the salary threshold for exempt status?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nYes, employers can offer additional compensation, such as bonuses or commissions, to help employees meet the salary threshold for exempt status. However, these additional payments must meet certain criteria set by the Department of Labor.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"6_Is_the_salary_threshold_for_exempt_status_adjusted_regularly\"><\/span>6. Is the salary threshold for exempt status adjusted regularly?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nYes, the salary threshold for exempt status is adjusted periodically by the Department of Labor to account for inflation and changes in the economy.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"7_Can_employers_reduce_an_employees_salary_to_bring_them_below_the_salary_threshold_for_exempt_status\"><\/span>7. Can employers reduce an employee&#8217;s salary to bring them below the salary threshold for exempt status?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nEmployers cannot reduce an employee&#8217;s salary for the purpose of bringing them below the salary threshold for exempt status. Doing so could lead to violations of wage and hour laws.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"8_Are_part-time_employees_eligible_for_exempt_status\"><\/span>8. Are part-time employees eligible for exempt status?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nPart-time employees can be classified as exempt if they meet the salary threshold and other requirements set by the Department of Labor.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"9_Can_exempt_employees_be_required_to_work_overtime_without_additional_pay\"><\/span>9. Can exempt employees be required to work overtime without additional pay?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nExempt employees are not entitled to overtime pay, regardless of the number of hours worked. This means they can be required to work overtime without additional compensation.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"10_Can_employees_be_exempt_from_both_the_salary_threshold_and_the_duties_test\"><\/span>10. Can employees be exempt from both the salary threshold and the duties test?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nNo, in order to be classified as exempt, employees must meet both the salary threshold and the duties test set by the Department of Labor.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"11_Are_independent_contractors_eligible_for_exempt_status\"><\/span>11. Are independent contractors eligible for exempt status?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nIndependent contractors are not eligible for exempt status since they are not considered employees of the company.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"12_Can_exempt_employees_be_paid_on_a_commission-only_basis\"><\/span>12. Can exempt employees be paid on a commission-only basis?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nExempt employees must be paid on a salary basis, not on a commission-only basis. Commission-only pay does not meet the salary basis requirement for exempt status.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>If you work in the United States and are classified as an exempt employee, it means that you are not entitled to overtime pay under the Fair Labor Standards Act (FLSA). However, not all employees can be classified as exempt. In order to be considered exempt, employees must meet certain requirements set by the Department &#8230; <\/p>\n<p class=\"read-more-container\"><a title=\"What is the salary threshold for exempt status?\" class=\"read-more button\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/#more-107941\">Read more<span class=\"screen-reader-text\">What is the salary threshold for exempt status?<\/span><\/a><\/p>\n","protected":false},"author":15,"featured_media":107420,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[86279],"tags":[],"class_list":["post-107941","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-learn","no-featured-image-padding"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>What is the salary threshold for exempt status?<\/title>\n<meta name=\"description\" content=\"If you work in the United States and are classified as an exempt employee, it means that you are not entitled to overtime pay under the Fair Labor\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What is the salary threshold for exempt status?\" \/>\n<meta property=\"og:description\" content=\"If you work in the United States and are classified as an exempt employee, it means that you are not entitled to overtime pay under the Fair Labor\" \/>\n<meta property=\"og:url\" content=\"https:\/\/namso-gen.co\/blog\/what-is-the-salary-threshold-for-exempt-status\/\" \/>\n<meta property=\"og:site_name\" content=\"Namso Gen Blog - 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