The wage threshold for exempt workers is the minimal wage that an worker have to be paid so as to be exempt from additional time pay necessities. The Truthful Labor Requirements Act (FLSA) units the federal minimal wage threshold for exempt workers, however states may set their very own wage thresholds. In 2023, the federal minimal wage threshold for exempt workers is $684 per week, or $35,568 per yr. The wage threshold for exempt workers is adjusted periodically to maintain tempo with inflation.
The wage threshold for exempt workers is necessary as a result of it helps to make sure that workers are paid pretty for his or her work. Exempt workers aren’t eligible for additional time pay, so you will need to guarantee that they’re paid a wage that’s commensurate with their expertise and duties. The wage threshold additionally helps to forestall employers from misclassifying workers as exempt so as to keep away from paying additional time wages.
