Employers are legally required to pay a certain minimum wage to their employees, $7.25 an hour to comply with federal laws. In addition, employers need to pay overtime (at least 1.5% of the regular pay rate, or “time and a half”) for hours worked over 40 in a workweek. However, the Fair Labor Standards Act (FLSA) provides minimum wage exemptions and overtime exemptions for certain types of jobs, positions, and demographics like minors or disable workers.
Your business may be exempt from minimum wage and/or overtime rules if you are in one of the following organizations or companies: farming, nonprofit, seasonal business, babysitting, small newspaper company.
