Many people regularly work overtime to make ends meet. If you work overtime, it is crucial to understand overtime pay rules so you can ensure you are getting paid for the time you work.
For the first time in 15 years, the American labor force will have updated overtime laws that may put more pay in their pockets. The U.S. Department of Labor recently finalized a new overtime pay rule that is expected to extend overtime pay eligibility for up to 1.3 million workers.
If an employer is covered by the Fair Labor Standards Act (FLSA), they must pay overtime to all eligible employees. Under West Virginia overtime law, most employees must be paid 1.5 times their regular hourly rate for all hours worked beyond 40 in a given workweek. State law does not require overtime pay after eight hours of work in one day.
Requirements of the new rule
The new rule will:
- Raise the threshold of salaried workers from $23,660 a year to $35,568 a year.
- Permit employers to use annual non-discretionary bonuses and incentive payments (including commissions) to contribute up to 10% of the standard salary.
- Raise the total annual pay required for “highly compensated employees” to $107,432 a year.
- Revise special salaries for workers in some U.S. territories and update base pay to employees in the motion picture industry.
Some jobs and workplaces do not qualify for overtime pay. The FLSA classification of “exempt” and “non-exempt” employees dictate who qualifies for overtime pay.
If your employer is found to be in violation of overtime wage laws, then you have the right to recover back payment.