In this course we discuss the requirements needed to determine if a worker is an exempt employee or a nonexempt employee under the Fair Labor Standards Act (FLSA).
We start with a brief review of the terms “exempt” and “nonexempt”. From this we discuss the requirements for designating an employee exempt under the FLSA. This discussion includes the definition of the 4+ categories of exempt employees, blue collar workers and first responders. This leads into a conversation about the duties requirements for each of these types of classifications under the wage and hour rules. We, then examine the requirements for paying an exempt employee including the salary basis rules and the salary level test. The salary level test include the latest update available on the latest salary levels currently in effect. Finally we will briefly review the various possible requirements on the state level for exempt employees.
This course serves as a sound basis to assist human resources, payroll or finance professionals in determining how to properly classify as an exempt employee and to understand the difference between exempt and nonexempt.
Learning Objectives
- Explore the terms exempt, nonexempt and salary basis.
- Discover and define the requirements under the FLSA regulations that are used to classify workers as exempt.
- Identify each category of exempt employee and the job duties requirements that must be met.
- Identify the requirements that must be met to properly pay an exempt employee on a salary basis.
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Prerequisites
No advanced preparation or prerequisites are required for this course.
I worked for a company and was called a CFO with over 100k salary plus bonus in Texas. I had 1 direct report, although I did not hire, fire, or give the review. I had no authorization to make operational decisions, and spent more than 80% of my time completing reconciliations, inputting invoices, and making bank deposits, opening mail and other general data entry. My employee did the same, but her salary was probably around 55k to 65k with bonuses. I believe she was wrongly classified as a manager considering the facts I stated previously and she had no direct reports. She worked 40 to 50 hours per week. I worked 55
to 70 hours per week. I do have
my CPA license, but that was
obviously not needed for data
entry or this job. What recourse
if any do either of us have or is it
career "suicide" to do anything if
something could be done? I
was employed about 10 1/2 to 11 months. My employee was
there about 3 years.