Compliance
FLSA Overtime Pay Rules and Requirements FAQ
FLSA overtime rules generate more payroll confusion than almost any other compliance topic. This FAQ answers 20 of the most common questions about when overtime starts, which pay rate applies, how workweeks are defined, and what records you need to defend your calculations in an audit. It is written for HR leaders, payroll managers, and operations teams in construction, manufacturing, transportation, warehousing, and staffing.
20 questions
- When does overtime pay start under the FLSA?
- Overtime pay starts after an employee works more than 40 hours in a single workweek. The Fair Labor Standards Act (29 U.S.C. § 207) requires covered employers to pay non-exempt employees at least 1.5 times their regular rate for every hour beyond that threshold. Some states impose stricter daily triggers, but the federal floor is 40 weekly hours. For a deeper breakdown, see FLSA overtime eligibility and exempt vs. non-exempt rules.
- What triggers overtime pay?
- Three mechanisms can trigger overtime: exceeding 40 hours in a workweek (the federal FLSA rule), exceeding 8 hours in a single workday (required in California and a few other states), or crossing a threshold defined in a collective bargaining agreement. The trigger that applies depends on your employees' work locations and any applicable union contracts. If you operate across states, you need to identify which rule governs each employee's hours.