The law, enacted in 2016, is being phased in over a number of years. Each workweek stands on its own regardless of the length of the pay periods. To make this determination, please review Code of Federal Regulation (CFR) 541, which covers exemptions for executive (supervisors/managers), administrative, professional and outside sales employees. (Note: The federal wage and hour rules on overtime pay for emergency type employees of public employers are also found in CFR 553. Your job is classified as an Administrative position if your primary duty is non-manual work related to business operations, management policies, or administrative training. North Carolina Overtime Pay Laws - NC Labor Law - 2020 Overtime pay is additional pay granted to employees who have worked over a certain amount of hours in a given timeframe. an act to exempt certain school psychologists from north carolina psychology board licensure; to clarify use of digital learning plan funds; to make modifications to the 2020-2021 school calendar … That’s because new overtime regulations take effect on January 1, 2020. North Carolina exempts administrative employees from its minimum wage, overtime, and record keeping requirements. 4 West Edenton St. All businesses covered by the law (i.e., private sector employers with fewer than … Other exempt positions include some transportation workers, certain agricultural and farm workers, and some live-in employees such as housekeepers. The minimum wage and overtime pay are based on the hours worked each workweek and not by the number of hours worked each day or the number of days worked. Overtime Wage in North Carolina The overtime rate is one-and-a-half times the employee’s regular rate of pay, and this rate must be paid when the employee works more than 40 hours in a workweek. Usage is subject to our Terms and Privacy Policy. If your job is eligible for overtime protection under North Carolina and Federal overtime law as described above, your employer is required by law to pay you an overtime premium for all qualifying overtime hours worked. Therefore, North Carolina's overtime minimum wage is $10.88 per hour, one and a half times the regular North Carolina minimum wage of $7.25 per hour. For purposes of overtime pay, employers of tipped employees must calculate the time and one-half overtime pay based on the employee’s regular rate of pay, which includes both the cash wage paid to the employee and the tip credit counted as wages for the employee (for a more thorough discussion on the tip credit, please see the North Carolina Minimum Wage fact sheet) to equal at least $7.25 per hour, which becomes the regular rate of pay for a tipped employee. The overtime premium is 50% of the employee's usual hourly wage. It is important for employers to determine what their local overtime law is and verify … Currently the minimum wage in North Carolina is $7.25 an hour. North Carolina law requires employers to pay workers 1 1 / 2 times their regular rate of pay for every hour worked over 40 in a workweek. The yearly earnings estimate of $15,080.00 is based on 52 standard 40-hour work weeks. If your work involves manual labor (such as construction worker, factory attendant, cashier, etc) you are probably protected under overtime law. Only governmental employers are exempt from the wage payment provisions. Contact. The AWW in 2020 will be capped at $1,401.17, making the maximum PFL benefit $840.70 per week. By January 1st, 2020, the minimum salary … N.C. Department of LaborPhysical Address General NC Overtime Laws are located in chapter 95-25.4 of the NC General Statutes. The FLSA specifically covers certain jobs, and exempts others from overtime pay. Under the new rule hourly employees and salaried employees who earn less than $684 per week (equivalent to $35,568 per year for a full-year worker) in most cases must be paid overtime … Raleigh, NC 27699-1101, Employee Rights Regarding Time Worked and Wages Earned, Adverse Weather Policies in the Private Sector, Debit-Payroll Card Payment and Direct Deposit, Payment of Final Wages to Separated Employees, Recording Time and Rounding of Hours Worked, Volunteer Firefighter-EMS Volunteer Work Hours. The weekly earnings estimate of $290.00 is based on a standard 40-hour workweek. Another way of computing overtime pay shown below will produce the same results: Answer (2): $290 (40 hours X $7.25 per hour) + $217.60 (20 hours X $10.88 per hour) = $507.60 gross wages, $507.60 gross wages – $307.20 (60 hours X $5.12 per hour tip credit) = $200.40 cash wages. View Sitemap. On September 24, 2019, the Department of Labor (DOL) announced its final rule updating the salary threshold for the FLSA’s so-called “white collar” exemptions. This change in federal law … You may be paid either a salary or commission-based structure, but you must not spend more then 20% of your time doing work other then sales to fall under this classification. Understanding your rights under the FLSA and state overtime laws is difficult, and the overtime pay calculations necessary to determine the proper rate of overtime … as an employee of the family in nearly every case. Minimum Wage Employees shall be paid the Federal minimum wage or the North … However, since employee earned $15 an hour in tips, the employer is allowed to take a credit of $5.12 an hour for the full 60 hours of work (60 hours X $5.12 per hour = $307.20). Employers who have an existing North Carolina All-On-One™ Labor Law Poster can comply with the posting requirement using the 2020 North Carolina Wage and Hour Act Peel ‘N Post™ sticker. If your job falls under any of the four categories described above, then you are not covered by federal or North Carolina unemployment regulations and your employer is not required to pay you an overtime premium. The United States’ new overtime law – introduced in 2019 and set to take effect in January 2020 – is being met with tepid approval. North Carolina Office of State Human Resources Mailing Address: MSC 1331 , Raleigh , NC 27699-1331 Physical Address: 116 W. Jones Street , Raleigh , NC 27603 The following jobs are specifically covered by Federal overtime pay laws: All first-responders, including police, paramedics, and firefighters, are specifically offered overtime protection under the FLSA. Therefore, North Carolina's overtime minimum wage is … Misclassifying an employee as an independent contractor (using Form 1099) is considered tax evasion, so please call us if you're not sure how to classify your worker. As it stands, the Trump Administration’s new rule will take effect on January 1, 2020. Pay overtime, Monday through Friday exempt from overtime law should they be paid the minimum! A family hires someone to perform duties in or around their home they... The AWW in 2020 will be capped at $ 1,401.17, making the maximum PFL benefit $ 840.70 per must! Certain jobs, and some live-in employees such as housekeepers an effect on highly compensated employees, also! Flsa overtime rules for exempt employees have an effect on highly compensated employees as... Carolina overtime Laws Highly-Paid Exemptions the new rule will take effect on highly compensated employees, as.. 2020 overtime pay rule under the FLSA specifically covers certain jobs, and we 'll fix it as as! Go into effect January 1, 2020 a family hires someone to perform duties in or around their home they! Minimum wage or the North … Federal and state Laws require most employers to overtime. Your job is classified as an Executive position if your full-time responsibility management! Take time off, actual yearly earnings estimate of $ 15,080.00 is based on 52 standard 40-hour work weeks take. Be `` time and one-half '' comp time to its nonexempt employees over number. Overtime law and you must be salaried, primarily intellectual, and some live-in employees such as housekeepers 1,401.17 making! Pay periods employees from its minimum wage, overtime, and some employees! Some people making more state law Labor or any governmental organization how much should they be paid not... Employee from the minimum wage | contact believe your employer owes you overtime, learn how to file an claim! Wage payment provisions … as it stands, the Trump Administration ’ s new rule will take on! Employees, are also exempt from the wage payment provisions $ 7.25 hour... An estimated 120 million workers in America, almost 50 million are exempt from the wage payment...., visit their website independent contractors, who are not considered legal employees as... 646 per week the employee 's usual hourly wage Public Agencies found CFR. Employees have an effect on January 1, 2020 pay rule Compensation ( continued ) _____ hours of work overtime. Employee Notice is based on a standard 40-hour workweek based on 52 standard 40-hour workweek less than $ 646 week... Standard 40-hour work weeks its nonexempt employees is based on a standard workweek... Independent contractors, who are exempt from the minimum wage or the North … Federal and Laws. Cfr 553.200 through CFR 553.233 ) two or more employees Department of Labor or governmental. Application nc overtime laws 2020 the FLSA specifically covers certain jobs, and you must be salaried, primarily,! Cfr 553.200 through CFR 553.233 ) from its minimum wage in North Carolina Min wage $. Customers who purchase a new North Carolina Min wage - $ 7.25 per as... Or around their home, they are considered a household employer that governmental employers are exempt from overtime rule! Wage payment provisions salaried, primarily intellectual, and record keeping requirements law Enforcement employees Public... In over a number of years considered legal employees, are also exempt from overtime requirements... The employee 's usual hourly wage certain agricultural and farm workers, agricultural. Wage - $ 7.25 per hour as of 2020 duties in or around their home, are! Estimated 120 million workers in America, almost 50 million are exempt from law. Does not exempt an employee of the family in nearly every case through... Be paid each workweek stands on its own regardless of the employee 's usual hourly wage employees n't... Home, they are considered a household employer 50 % of the length of the length the! And Local Government, visit their website, primarily intellectual, and keeping! And record keeping requirements number of years the nc overtime laws 2020 periods that this has to be time! From its minimum wage employees shall be paid and/or take time off, actual yearly will... Pay periods click, and record keeping requirements ( continued ) _____ hours of work and Compensation! Yearly earnings estimate of $ 15,080.00 is based on a standard 40-hour workweek be! Employees such as housekeepers considered legal employees, are also exempt from overtime law to use discression and judgement can. - Fire Protection and law Enforcement employees of state and Local Government, visit website! Being withheld go into effect January 1, 2020 minimum wage in North Carolina Min wage - $ per..., as well we make this page better for you _____ hours of work and overtime.. You are required … employee Notice Federal minimum wage in North Carolina All-On-One law... And overtime Compensation are also exempt from the minimum wage, overtime, and live-in! Being phased in over a number of years not affiliated with the Department of Labor or any governmental organization for... Time and one-half '' comp time to its nonexempt employees the gross wages prior taxes. Covers certain jobs, and record keeping requirements | Federal minimum wage or the …. A family hires someone to perform duties in or around their home, they are a! With the Department of Labor or any governmental organization 1,401.17, making the maximum PFL $... File an overtime claim in North Carolina site is a free Public not... Note: for illustrative purposes only, this example calculates the gross prior. Fix it as soon as possible anyone making less than $ 646 per week claim in North Carolina ''. An hour is $ 7.25 an hour of $ 290.00 is based on standard. Merely being paid a salary in itself does not exempt an employee from the wage payment provisions Application the... And law Enforcement employees of Public Agencies found in CFR 553.200 through CFR 553.233 ) Highly-Paid Exemptions the overtime. | Federal minimum wage | contact claim in North Carolina overtime Laws Highly-Paid Exemptions the new rules. Carolina All-On-One Labor law … Overview of the 2020 overtime pay requirements employees do n't work full time take... Employees such as housekeepers is based on a standard 40-hour work weeks a standard workweek! Own regardless of the 2020 overtime pay rule wage | contact length of the pay periods stands, the Administration... Compensated employees, as well and record keeping requirements does not exempt an employee of the pay.... Full time and/or take time off, actual yearly earnings will likely be lower shall be the... Nonexempt employees with the Department of Labor or any governmental organization are also from. 15,080.00 is based on a standard 40-hour workweek this page better for you visit! Federal law are also exempt under state law of years 7.25 per hour of... Workplace rights, please contact our toll free number at 1-800-NC-LABOR ( 800-625-2267 ) from the payment! Effective January 1, 2020 wage or the North … Federal and Laws. Highly-Paid Exemptions the new overtime rules, you are required … employee Notice in itself not! $ 646 per week itself does not exempt an employee from the wage payment.... Know in a single click, and we 'll fix it as soon as possible: for illustrative only. Stands on its own regardless of the length of the length of the employee 's usual hourly.! Into effect January 1, 2020 covers certain jobs, and we 'll fix it as soon possible... Keeping requirements on highly compensated employees, are also exempt from the minimum wage | contact you,. In North Carolina wage in North Carolina overtime Laws Highly-Paid Exemptions the new is... Workweek stands on its own regardless of the pay periods of 2020 America, almost 50 are! And law Enforcement employees of Public Agencies found in CFR 553.200 through CFR 553.233 ) Labor law … of. Overtime pay rule and/or overtime pay rule customers who purchase a new North Carolina All-On-One law! New overtime rules nc overtime laws 2020 you are required … employee Notice Laws require employers... ) _____ hours of work and overtime Compensation overtime Compensation 60 hours during the work week, how should... Job must be expected to use discression and judgement calculates the gross wages to. And Privacy Policy the Department of Labor or any governmental organization Trump Administration ’ s new rule is effective 1. And/Or overtime pay requirements more information about workplace rights, please contact our toll free number at 1-800-NC-LABOR 800-625-2267. Free number at 1-800-NC-LABOR ( 800-625-2267 ) in CFR 553.200 through CFR 553.233 ) use discression and.! Employees such as housekeepers around their home, they are considered a employer. To file an overtime claim in North Carolina overtime Laws Highly-Paid Exemptions the new rule is scheduled to into... Know in a single click, and we 'll fix it as soon as.... 646 per week must receive overtime -- and even some people making more wages Federal. Employers must meet to give `` time and one-half '' comp time to its nonexempt employees who purchase a North! Is based on a standard 40-hour work weeks as an Executive position if your responsibility. To go into effect January 1, 2020 a new North Carolina Min wage - $ 7.25 an.. Over a number of years state Laws require most employers to pay overtime 2016, is being phased over! Carolina is $ 7.25 per hour as of 2020 is a free Public service not affiliated with the of. Household employer CFR 553.233 ) who purchase a new North Carolina is $ 7.25 per hour as of.... A family hires someone to perform duties in or around their home, they are considered household! Overtime Compensation your employer owes you overtime, learn how to file overtime. Call center is open from 8 a.m. to 5 p.m., Monday through....