How Overtime Should Be Calculated

According to the FLSA, for each hour of overtime that a non-exempt employee works, he or she must receive one and one-half times their regular pay. But “regular pay” is not necessarily the same thing as “hourly pay.” If you make $10 an hour, for example, you must receive $15 for each hour over 40 you work in a workweek. That is hourly pay.

An employee’s “regular rate of pay,” on the other hand, includes all remuneration an employee receives for that workweek. In other words, there are other forms of compensation that also have to be figured in when calculating overtime pay. Here are just a few examples.

  • Bonuses – If you receive a bonus tied to achieving a certain result or working certain hours, that bonus must be included in your overtime pay calculation.
  • Incentives – There are some jobs that provide extra compensation to workers who achieve job-related educational certifications. This compensation must be included when calculating overtime pay.
  • Longevity pay – You may work at a job that offers additional pay to employees who reach a certain longevity milestone, such as five, 10, 20 or 30 years. These must also be factored in when determining your overtime compensation.

When to Speak to an Attorney

The FLSA protects employees from any sort of retaliation from employers when it comes to overtime violations. As long as you are acting in good faith and believe you have not received proper overtime compensation, you cannot be demoted, fired or harassed in any way.

If you have spoken to your employer and still are not receiving the overtime pay to which you believe you are entitled, you should talk to an experienced attorney before taking any sort of legal action. A lawyer will let you know if you have a valid claim and also let you know what type of evidence you will need to prove your case. An attorney will also be able to let you know how strong your case may be.

You will very likely have many questions on what you should do next. At Baron & Budd, our overtime lawsuit attorneys work very closely with our clients. We will clearly spell out all of your options so you can make the best decision possible.

Baron & Budd employment law attorneys have extensive experience in holding employers accountable for their actions, and helping workers obtain the compensation to which they are entitled. You work much too hard to be taken advantage of. Get in touch with us to learn more about how we can fight for your rights. Give us a call at 866-238-4143 or complete our contact form for more information.

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