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Overtime: Test Your Knowledge

The Fair Labor Standards Act (FLSA) requires employers to pay non-exempt employees overtime (at 1.5 times their regular rate of pay) whenever they work more than 40 hours in a workweek. Some states require overtime pay in additional circumstances and at different rates.

For example, California requires employers to pay non-exempt employees 1.5 times their regular rate of pay for all hours worked over eight in a workday and 40 in a workweek as well as for the first eight hours of work performed on the seventh consecutive work day in a workweek (double time is required for hours worked over eight on the seventh consecutive day). Double time is also required for hours worked over 12 in a workday.

Test Your Knowledge:

Overtime violations are a common source of FLSA penalties, which can result in back pay, fines, and damages. Below, we present several common scenarios to test your knowledge of overtime requirements. Choose the answer you think is right and then click to see the correct answer and explanation.

Q: In workweek one, a non-exempt employee works 30 hours. In workweek two, he works 50 hours. Is the employee owed overtime pay under federal law?

  1. It depends on whether the payroll period is weekly or biweekly.
  2. Yes, the employee is entitled to 10 hours of overtime pay.
  3. No, the employer can average the two workweeks to avoid overtime.

Correct answer

Q: When determining an employee's regular rate of pay for overtime purposes, which of the following must be included?

  1. Hourly wages
  2. Nondiscretionary bonuses
  3. Shift differentials
  4. All of the above

Correct answer

Q: A non-exempt employee is employed by the same employer in two jobs, one as a receptionist at $10 per hour and the other as a client services representative (CSR) at $12 per hour. In one workweek, the employee works 10 hours as a receptionist and 40 hours as a CSR. For the purposes of calculating overtime under the FLSA, what is the employee's regular rate of pay?

  1. Trick question—the employee isn't entitled to overtime because you don't need to add the hours from the two jobs.
  2. $11.00 (the average of the two wages)
  3. $11.60 (the weighted average of the two wages)
  4. $12.00

Correct answer

Q: An employer has a written policy that prohibits employees from working overtime without prior authorization. An employee works one hour of unauthorized overtime. Is the employee entitled to overtime pay?

  1. Yes.
  2. No.

Correct answer

Q: An employee typically works eight hours per day, five days per week, but during one workweek the employee worked 10 hours per day on Monday through Thursday (for a total of 40 hours). On Friday, the employee took a paid vacation day. Under federal law, is the employee entitled to overtime pay for the workweek?

  1. Yes, the employee's vacation hours count toward their total hours for the week for federal overtime purposes.
  2. No, unless the employer promised otherwise.

Correct answer

Q: An employee has a schedule of 8:30 AM to 5 PM, Monday through Friday, with a half hour unpaid lunch each day. During one workweek, the employee worked her normal schedule but chose to work through lunch on two days. Is overtime pay required under federal law?

  1. Yes, the employee has worked 41 hours as a result of missing two meal periods.
  2. No.

Correct answer

Q: An employee has already worked 40 hours in a workweek, but she hasn't finished a project that is due. The employee stays an extra hour to finish it, but tells her supervisor that she doesn't need to be paid overtime since she missed the deadline. Is overtime pay required?

  1. Yes.
  2. No, the employee voluntarily waived her right to overtime.
  3. No, as long the employer gets the employee's waiver in writing.

Correct answer

Q: An employee is a highly skilled mechanic and is paid a salary of $700 per week. In one workweek, he works more than 40 hours. Is overtime pay required?

  1. Yes, the employee doesn't meet the FLSA's overtime exemption criteria.
  2. No. The employee is paid a salary of more than $455 per week, so he is automatically exempt from overtime.

Correct answer

Conclusion:

Wading through federal, state, and local overtime laws can be tricky. Make sure you carefully review all requirements applicable to your business before making overtime calculations.

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