If you're using one of the following justifications to explain why you're not paying overtime, you could be breaking the law.
- "He's on salary." Even salaried workers may have to be paid overtime if their jobs meet certain exemption criteria. The rule of thumb: If they don't make many independent decisions, they may qualify for time and a half.
- "Longer hours are in her contract." Some employers try to avoid paying overtime by building extra hours into employment contracts. But employees can't opt out of overtime pay.
- "He makes a lot of money." White-collar workers who earn more than $100,000 a year and meet the "independent judgment" criteria are ineligible for overtime only if they make at least $455 a week in guaranteed salary. In many cases, bonuses don't count.
- "He's an outside sales rep." Outside salespeople are generally exempt from overtime pay. But if they spend more than half their time in the office, they may actually qualify.
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