The Department of Labor finalized new overtime rules expanding overtime eligibility to an estimated 4 million employees starting July 1, 2024.
The new standard salary level for the Executive, Administrative, and Professional (EAP) exemption increases are:
- $35,568 ($684 per week), currently
- $43,888 ($844 per week), effective July 1, 2024
- $58,656 ($1,128 per week), effective January 1, 2025
The new Highly Compensated Employee (HCE) compensation increases are:
- $107,432 per year, currently
- $132,964 per year, effective July 1, 2024
- $151,164 per year, effective January 1, 2025
The standard salary level amounts are included in the HCE amounts. The salary and HCE compensation thresholds will be regularly updated every three years beginning July 1, 2027. The final overtime rule does not apply to U.S. territories.
If you need assistance in identifying employees who will now be eligible for Overtime, please reach out to the Service Team to utilize a report in Business Intelligence that provides salary information and current exemption status.
Please see the following FAQ from the DOL for more information.
If you have ANY questions, please contact the HCM Service Team at 407-447-3837 or via email: hcmservice@plansource.com
