Working overtime at a job requires discipline and dedication. Many people work overtime to help pay off bills, save for vacations, or to make enough money to support a large family. However, what if you worked overtime yet never received the money you deserved? The U.S. Federal Law states that employees working more than 40 hours in a week’s time, must be paid overtime salary. In most states, overtime pay is determined by calculating the regular hourly rate of pay at 40 hours and adding 50% more for hours worked after the original 40 hours. A New Jersey business law attorney can help you understand how overtime can be calculated.
What an Exemption Means
An employee’s job duty determines who is non-exempt and exempt. For employees who work for hourly wages, it doesn’t matter if your employer pays you weekly, bi-weekly, or monthly if you are entitled to receive overtime pay. However, there are exceptions to the overtime pay rule. If an employee is in an exempt classification, you cannot be compensated for overtime pay. This can apply for executives, administrative staff, and professional employees. Contact a New Jersey business lawyer to see if you fit one of these titles. Here are some examples of when a person cannot receive overtime pay:
- If the employer is paid on a salary basis (However, this does not automatically exempt a person)
- Manages a staff of two or more full-time employees other than his or her self
- Have the power or can recommend others to hire and fire employees
- Regularly perform work duties strictly to management policies and/or general business operations
Who can receive Overtime Pay?
Certain companies are obligated to give overtime pay to eligible employees. An employer who is covered by the Federal Fair Labor Standards Act (FLSA) has to make $500,000 or more in annual sales to be federally required to pay overtime hours. The FLSA is the federal wage and hour law that enforce rules for overtime pay. Employers who make less can still be entitled to pay for overtime – whether it is covered by the FLSA act or has to stick to the state overtime law. Check with an experienced New Jersey business law attorney to see if you qualify for overtime pay.
In general, most hourly employees are due to receive overtime pay if their working hours exceed 40 hours. However, there have been cases where an employer may misclassify employees to get out of paying overtime. Contact a New Jersey business lawyer to help you determine if you are entitled to receive overtime pay and help you get the money you deserve.