What Does It Mean To Be An “Exempt” or “Nonexempt” Employee?
These terms have to do with your status under the Fair Labor Standards Act (FLSA). Generally, employees are classified as “exempt” or “nonexempt” based on the kind of work they do. If you’re an exempt employee, you’ll probably be paid a set salary. Usually this salary will be pretty high, much higher than what you’d be earning at minimum wage, and you won’t be covered by the FLSA. Nonexempt employees are protected by the FLSA. If you’re nonexempt, you have to be paid at least the minimum wage for all the hours you work, and extra overtime pay if you work more than 40 hours in a single workweek.