Q: What is the difference between "exempt" and "nonexempt" employees?
A: "Exempt" employees are not covered by the overtime provisions of
the FLSA (Fair Labor Standards Act) and are paid an agreed amount for the job without regard to the amount of time it takes
to complete that job. Exempt employees, sometimes called "salaried" employees, should not record hours worked on
any time record.
other end of the spectrum, "nonexempt" employees are covered by the overtime provisions of FLSA and must record
each hour worked on the time record. If the nonexempt employee works more than 40 hours in a single work week, the employee
is paid a premium of 1 and 1/2 times for each hour worked over 40 hours either in pay or in accrual of compensatory time.