Do I Get Overtime Pay If I’m Paid a Salary?

Both California and federal law state that employees who work more than eight hours a day or 40 hours a week must receive overtime. Exempt employees, such as those in upper management, or certain professionals, may be exempt from overtime.

Employees who are on a salary or have the title of manager incorrectly believe they aren’t entitled to overtime pay. Employers sometimes force salaried employees to work long hours without compensation, preventing them from spending time with their family. Some employers even ask their employees to work off the clock, so there is no record of the extra time they work.

Salaries and titles do not matter when it comes to overtime, even if your employer tells you that you’re exempt. Employers often misclassify their workers to save money, so being classified as an independent contractor doesn’t even matter. If your employer is asking you to work long hours without compensation, contact an employment lawyer to review your case. They will be able to tell you if you are entitled to overtime pay. The attorneys at Nakase Accident Lawyers & Employment Attorneys offer a free consultation so you can seek expert legal assistance.

Overtime should be paid at 1.5 or double time the usual hourly rate. If the employee has to file a wage claim in court, the employer may have to pay interest, penalties, and the employee’s attorney fees. Brad Nakase has a successful track record for representing clients for unpaid overtime pay.

Salaried employees may be classified as either exempt or non-exempt under California law. An exempt employee must be paid at least twice the minimum hourly wage for a 40 hour week because they do not receive overtime pay.

What are California’s salary laws?

It is not just non-salaried workers who are protected by California wage laws. While there is a lot of provisions for non-salaried workers such as minimum wage laws, there are minimum salary requirements for exempt employees too.

Exempt employees refer to employees who are exempt from the wage and hour laws in California. However, for an employer to classify an employee as exempt, there are specific duties required, and they must be paid at least double the state minimum wage when based on a 40-hour workweek.

Non-exempt employees can be paid a salary too; their salaries may not be less than California’s minimum wage. As non-exempt, they are protected by wage and hour laws which regulate things like overtime laws and meal and rest breaks. The law also prohibits paying employees of different sex a different wage for the same work. The Fair Pay Act protects employees of different ethnicities from being paid different wages for the same work.

What Is The Salary For a Non-Exempt Employee?

Even if a non-exempt employee is paid on a regular salary, they are protected by the state minimum wage laws. It is illegal for an employer to pay any employee less than minimum wage or let their pay fall below minimum wage due to deductions. If you believe your employer has violated minimum wage laws, Nakase Accident Lawyers & Employment Attorneys can assist you in recovering your money through a wage and hour lawsuit or a wage and hour class action lawsuit.

As of 2020, California minimum wage is $13 per hour for employers with more than 26 employees or $12 per hour for employers with less than 25 employees.

As a minimum, a salaried non-exempt employee should be paid minimum wage for the hours they work. Therefore, if a salaried non-exempt employee works 40 hours a week, their minimum salary is $480 per week, which works out to be $24,960 per year. If they work over 40 hours a week or eight hours a day, they are required to be paid the overtime rate of pay for the extra hours.

For example, an employee at a call center with 21 staff is paid based on 40 hours a week, so their weekly pay is $480. If the employer asks the employee to work 4 hours on Saturday in addition to their usual 40 hours, they should be paid 1.5 times their hourly rate for those 4 hours. In the employee’s next paycheck, they should receive $480 for their salary and $72 for the overtime.