Arkansas Job Offer Letter - Exempt or Nonexempt Position
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How to fill out Job Offer Letter - Exempt Or Nonexempt Position?
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FAQ
Exempt/Nonexempt Classification. Offer letters to nonexempt employees should state that they must record their hours worked and they will be paid overtime (as pre-approved by their supervisor), and describe available meal and rest periods.
The Fair Labor and Standards Act defines exempt employees, and they include company executives, administrative employees, certain sales employees and some computer employees. However, even these exempt employees must receive a minimum weekly salary of $455.
Who is eligible for overtime pay? To qualify as an exempt employee one who does not receive overtime pay staff members must meet all the requirements under the duties and salary basis tests.
Exempt positions are excluded from minimum wage, overtime regulations, and other rights and protections afforded nonexempt workers. Employers must pay a salary rather than an hourly wage for a position for it to be exempt.
The FLSA includes these job categories as exempt: professional, administrative, executive, outside sales, and computer-related. The details vary by state, but if an employee falls in the above categories, is salaried, and earns a minimum of $684 per week or $35,568 annually, then they are considered exempt.
Arkansas Minimum Wage for 2021, 2022. Arkansas' state minimum wage rate is $11.00 per hour. This is greater than the Federal Minimum Wage of $7.25.
An exempt employee is not entitled overtime pay by the Fair Labor Standards Act (FLSA). These salaried employees receive the same amount of pay per pay period, even if they put in overtime hours. A nonexempt employee is eligible to be paid overtime for work in excess of 40 hours per week, per federal guidelines.
Simply put, an exempt employee is someone exempt from receiving overtime pay. It is a category of employees who do not qualify for minimum wage or overtime pay as guaranteed by Fair Labor Standard Act (FLSA). Exempt employees are paid a salary instead of hourly wages and their work is professional in nature.
