Simple English definitions for legal terms
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Exempt employee: An exempt employee is someone who is not eligible for overtime pay or minimum wage according to the Fair Labor and Standards Act. These employees are usually in professional, administrative, executive, outside sales, and computer-related positions and have a base pay of at least $35,568 per year. Exempt employees prefer a base pay over hourly pay and are compensated for extra work through bonuses instead of overtime pay.
Exempt employee
An exempt employee is someone who is not eligible for overtime pay or minimum wage according to the Fair Labor and Standards Act. These employees are typically in professional, administrative, executive, outside sales, and computer-related positions and earn a base pay of at least $35,568 per year. Exempt employees are paid for the work they accomplish, not the time they work, and may receive bonuses instead of overtime pay.
These examples illustrate the definition of an exempt employee because they are all in professional, administrative, executive, outside sales, or computer-related positions and earn a base pay of at least $35,568 per year. They are not eligible for overtime pay and are paid for the work they accomplish, not the time they work.