Overtime for salaried employees in Florida is governed by federal rules under the Fair Labor Standards Act (FLSA), as the state does not have its own regulations.
Whether a salaried employee qualifies for overtime in Florida depends on their job role, salary level, and how they meet federal exemption criteria.
This article explains the overtime rules for salaried employees in Florida, including eligibility, exemption rates, and legal cases.
This Article Covers:
- Do Salaried Employees Qualify for Overtime in Florida?
- What is the Overtime Exemption Rate for Salaried Employees in Florida?
- How is the Overtime Rate Determined for Salaried Employees in Florida?
- Which Laws Govern Salaried Employee Overtime in Florida?
- Legal Cases on Overtime Violations in Florida
Do Salaried Employees Qualify for Overtime in Florida?
Florida follows the federal FLSA, which classifies salaried employees as either exempt or non-exempt based on specific criteria.
Exempt employees in Florida are not entitled to overtime.
To fall under the exempt category, salaried employees in Florida must meet the predetermined federal criteria:
- Fixed Salary Requirement: Employees must receive a consistent, predetermined salary that isn’t reduced based on hours worked or work quality.
- Minimum Salary Threshold: Employees must earn at least $844 per week (or $43,888 annually) to be eligible for exemption under the FLSA.
- Job Duties Requirement: The primary job functions must involve executive, administrative, or professional responsibilities.
*It should be mentioned that there are specific jobs that are exempt from overtime in Florida, including airline staff, salespeople, computer professionals, and specific agricultural and railroad workers.
If salaried employees don’t satisfy all three conditions, they are considered non-exempt and must be paid overtime for hours worked beyond 40 in a week.
What is the Overtime Exemption Rate for Salaried Employees in Florida?
The overtime exemption rate for salaried employees in Florida follows the federal standard outlined by the FLSA.
As of July 2024, employees must earn at least $844 per week or $43,888 annually to qualify as exempt from overtime pay.
This rate applies to employees in executive, administrative, or professional roles who also meet the duties test under the FLSA.
Florida does not impose a higher exemption rate, so the federal standard is used statewide.
Employers in Florida must ensure that salaried employees meet both the salary level and job duties requirements to maintain exempt status.
How is the Overtime Rate Determined for Salaried Employees in Florida?
Salaried non-exempt employees in Florida are entitled to overtime pay for any hours worked beyond 40 in a week.
Overtime pay is calculated at 1.5 times the employee’s regular hourly rate, as required by the FLSA, commonly referred to as “time and a half”.
To find the regular hourly rate, divide the employee’s weekly salary by the number of hours it covers. If this hourly rate falls below the federal minimum wage of $7.25, the calculation must be adjusted.
Here’s an example:
- A salaried employee earns $800 weekly for a 40-hour workweek.
- Their regular hourly rate is $20 ($800 ÷ 40).
- If they work 50 hours in a week, the extra 10 hours are paid at $30 per hour (1.5 x $20).
- For the 10 overtime hours, they would earn an additional $300 ($30 x 10).
Explore How to Calculate Overtime Pay for Hourly and Salaried Employees for a detailed explanation.
Which Laws Govern Salaried Employee Overtime in Florida?
In Florida, overtime for salaried employees is regulated by the federal FLSA, as the state does not have its own overtime laws.
Under the FLSA, employers must follow specific rules to classify employees as exempt or non-exempt, considering factors like salary thresholds and job duties.
More, employers are required to keep detailed records of hours worked and wages paid to stay compliant.
Willful violations under the FLSA can result in fines of up to $1,100 per violation, $11,000 for repeats, and possible imprisonment. These are the federal rules, but they also apply in Florida.
Since Florida doesn’t have a separate state body that regulates overtime violations, enforcement falls under the Wage and Hour Division of the U.S. Department of Labor.
Legal Cases on Overtime Violations in Florida
1. Florida Air Conditioning Company Pays $34K for Overtime Violations Affecting Several Workers, Including a Salaried Employee
The U.S. Department of Labor investigated Mills Air Inc. (Mills), an Orlando-based air conditioning and heating service company, and found the company in violation of overtime laws for several workers, including one salaried employee.
Mills failed to pay proper overtime wages to employees who worked more than 40 hours in a week, which is mandatory under the Fair Labor Standards Act (FLSA).
Mills’ violation of salaried employee overtime occurred because the company excluded commissions and incentive pay from overtime calculations, as required by the FLSA.
As a result, the department’s Wage and Hour Division recovered $34,142 in back wages for 43 workers.
Key Lessons from the Case:
- Employers must factor in commissions and bonuses when calculating overtime pay to avoid overtime violations and costly penalties.
- Failing to maintain accurate payroll records increases the risk of overtime violations and exposes businesses to legal action.
- Regular payroll audits help identify and correct overtime violations before they escalate into financial and legal consequences.
- Even minor oversights in overtime calculations can lead to significant overtime violations and mandatory back pay obligations.
2. Florida Equipment Rental Company Pays $122K for Overtime Violations Affecting Salaried Employees
A U.S. Department of Labor investigation uncovered significant overtime violations at two locations of Southern Equipment Rental, operated by DeLand’s CJ Don’s Rental Group LLC and Ormond Beach’s Logsyd Group LLC.
The investigation revealed that the company paid flat salaries to certain employees, regardless of the number of hours worked.
This practice violated the Fair Labor Standards Act (FLSA), which mandates overtime pay for most employees working over 40 hours a week.
Further, Southern Equipment Rental salaried employees’ overtime violations occurred because the company failed to keep records of hours worked by salaried employees, further breaching FLSA recordkeeping requirements.
The Wage and Hour Division recovered $122,276 in back wages and liquidated damages, including $65,967 for 13 workers in DeLand and $56,309 for 9 workers in Ormond Beach.
Key Lessons from the Case:
- Accurate tracking of hours worked by salaried employees is essential to prevent overtime violations and ensure compliance with federal law.
- Employers must know that flat salaries don’t exempt employees from overtime. FLSA overtime eligibility depends on job duties and meeting specific criteria, such as salary thresholds. Regularly reviewing pay practices ensures compliance.
- Proactively seeking compliance guidance, such as using time tracking apps or software, can help employers avoid costly overtime violations and maintain fair pay practices.
Learn more about overtime regulations in our guide on Florida Overtime Laws.
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