Independent payroll-schedule reference · Updated July 2026 Methodology · Submit a correction
Glossary term

Non-exempt employee

Worker entitled to FLSA overtime protections.

Definition

A non-exempt employee is a worker entitled to the Fair Labor Standards Act's overtime protection: 1.5× the regular rate for hours over 40 in a workweek. Non-exempt status applies to most hourly workers, but salaried employees can also be non-exempt if they fail the FLSA duties test or fall below the salary threshold. Non-exempt employees must keep accurate time records — typically through a time-clock or timekeeping app — and the employer must pay overtime even if the employee did not request authorization to work the extra hours.

Example

A salaried administrative assistant earning $40,000 may be non-exempt and owed overtime.

Related terms

  • Pay period — The recurring window of time covered by a single paycheck.
  • Pay frequency — How often paychecks are issued.
  • Payday — The calendar day wages are deposited.
  • In arrears — Wages paid after the pay period ends.
  • Biweekly — Every other week — 26 paychecks per year.
  • Semimonthly — Twice per month on fixed dates — 24 paychecks per year.

See also