It was previously reported that on September 24, 2019, the U.S. Department of Labor (DOL) released its final rules for establishing the amounts required to be earned by an employee in order for that employee to be exempt from the Fair Labor Standards Act (FLSA) overtime requirements.
Under the final rule to become effective January 1, 2020, the amounts required to be earned by an employee for that employee to be exempt from the FLSA overtime requirements will be $684 per week ($35,568 annually).
The new salary level for the Highly Compensated Exemption (HCE) will be increased to $107,432 from the current level of $100,000.
The DOL has now released the following fact sheets which specifically address Special Salary Levels for the U.S. Territories (Fact Sheet 17T), Nondiscretionary Bonuses and Incentive Payments (Including Commissions) and Part 541 Exempt Employees (Fact Sheet 17U), and Exemption for Administrative Employees Under the Fair Labor Standards Act (FLSA) (Fact Sheet 17C).
Fact Sheet 17T
Fact Sheet 17U
Fact Sheet 17C
For a copy of the DOL final rule, click on the link provided below.
ADP Compliance Resources
ADP maintains a staff of dedicated professionals who carefully monitor federal and state legislative and regulatory measures affecting employment-related human resource, payroll, tax and benefits administration, and help ensure that ADP systems are updated as relevant laws evolve. For the latest on how federal and state tax law changes may impact your business, visit the ADP Eye on Washington Web page located at www.adp.com/regulatorynews.
ADP is committed to assisting businesses with increased compliance requirements resulting from rapidly evolving legislation. Our goal is to help minimize your administrative burden across the entire spectrum of employment-related payroll, tax, HR and benefits, so that you can focus on running your business. This information is provided as a courtesy to assist in your understanding of the impact of certain regulatory requirements and should not be construed as tax or legal advice. Such information is by nature subject to revision and may not be the most current information available. ADP encourages readers to consult with appropriate legal and/or tax advisors. Please be advised that calls to and from ADP may be monitored or recorded.
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Updated on November 4, 2019