Salaried Employee

Salaried employees are employees who are paid a fixed amount each year. Their salary may be weekly, bi-weekly, or monthly salary. Salaried employees are often referred to as “exempt employees.” For example, their compensation plan can be interpreted as “$45,000 per year.” Salary employees have both advantages and disadvantages, depending on your employer to a large extent. Some salaried employees are forced to work overtime until evenings or even weekends to complete their work. For a salaried employee, it is normal to work more than 45 hours a week. In busy times, even work 10 to 12 hours a day or more. Hourly workers find this to be beneficial because their salary has increased. However, salaried employees can take the same amount of money back home every week, month, and year according to the agreement. To be salaried employees, they can get a stable salary every period, and this salary payment method makes them feel more secure. The labor law changed on December 1, 2016, and salaried employees became a hot topic of discussion at that time. According to the current situation, any salaried employee with an annual salary of $23,660 will not be paid overtime under any circumstances, no matter how many hours they work per day, week or month. Now this threshold has been raised to $47,476 per year. Any employee with an annual salary of less than $47,476 will be considered as a non-exempt employee and will be eligible for overtime compensation. This law applies to all businesses, By the end of the year, employers will face two choices. First, increase the employee’s salary to $47,476. Second, they must start counting the employees’ working hours and pay overtime to employees who work more than 40 hours a week.