What Are the Laws on Overtime for Salaried Employees?

In general, salaried employees are not considered eligible for overtime pay, but that rule depends on the amount of money the salaried employee makes; American workers who earn a salary that breaks down to less than $455 per week are eligible for overtime pay, according to the law firm of Chamberlain, Kaufman and Jones. Salaried employees above this threshold, meaning those who earn more than $23,600 per year as a salary, are not eligible to be compensated for overtime work. This rule is in place according to the Federal Fair Labor Standards Act.

Though professionals who earn a salary of more than $23,600 per year are not entitled to overtime pay for working more than 40 hours in a week, those who typically earn more but suffer from docked pay may be eligible for overtime compensation, reports Nolo. The act of docking an employee's pay generally means that that employee is no longer salaried, removing the exemption even if the pay dock does not bring the employee's compensation below the $455 per week threshold.

In June 2015, President Obama announced his intention to expand overtime compensation for American workers. This includes an effort to bring more salaried employees under the protection of overtime non-exemption, notes the Los Angeles Times.