Are you correctly paying your employees for overtime? In less than 10 minutes, find out how to stay compliant, avoid fines, and protect your business by understanding exactly when overtime must be paid—and the mistakes that could cost you.
#OvertimeLaw #PayrollTips #SmallBusinessCompliance #BizHelpForYou #HRmistakes #FairLaborStandardsAct #QuickTipEpisode
Key Moments
- 00:32 – What is overtime and how is it calculated under the FLSA
- 01:26 – Defining a “workweek” and why consistency matters
- 02:04 – Who is exempt vs non-exempt and common misclassification
- 03:10 – Common overtime pitfalls: tracking hours, waiving rights, and comp time
- 05:02 – Averaging hours and state law exceptions (CA, NV, AK, CO, OR)
- 07:00 – Importance of calculating bonuses/commissions in OT pay
- 08:12 – Employees’ legal rights and protection from retaliation
- 09:11 – Final thoughts on staying compliant and building trust
Key Notes
- Overtime pay is federally mandated at 1.5x regular pay for non-exempt employees working over 40 hours/week
- Workweeks are fixed 7-day periods and cannot be adjusted to avoid OT
- Salary does not automatically mean an employee is exempt from OT
- Employers must accurately track all hours worked, even for salaried non-exempt workers
- Overtime cannot be waived by employee consent or replaced with comp time
- Bonuses and commissions (if nondiscretionary) must be included in OT calculations
- State-specific laws may be stricter than federal rules—stay informed
- Employees are protected from retaliation and can file complaints if misclassified
- Good recordkeeping protects both the business and the employee
Offer
- Review & Share Ask: If you found this helpful, leave a review and share the episode.
- Submit Questions: Email at media@abandp.com
- Support the Show: Financial support link is in the show notes
- Mentioned Episode: Payroll FAQs: Avoid Mistakes and Master the Basics of Paying Your Team
