Question 1

What are the Fair Labor Standards Act (FLSA) overtime rules?

Accepted Answer

The FLSA is a federal law that establishes minimum wage, overtime pay, recordkeeping, and child labor standards affecting full-time and part-time workers in the private sector and in federal, state, and local governments. Generally, non-exempt employees covered by the FLSA must receive overtime pay for hours worked over 40 in a workweek at a rate not less than time and one-half their regular rates of pay. For detailed information, always consult the official FLSA guidance from the U.S. Department of Labor.

Question 2

What is the difference between exempt and non-exempt employees?

Accepted Answer

Under the FLSA, employees are generally categorized as either "exempt" or "non-exempt." Non-exempt employees are entitled to minimum wage and overtime pay protections. Exempt employees, on the other hand, are not subject to these protections if they meet specific duties, salary level, and salary basis tests. Misclassifying employees can lead to significant penalties. For a full understanding of these classifications, refer to the FLSA exemption criteria provided by the Department of Labor.

Question 3

How long should employers keep payroll records?

Accepted Answer

Employers are generally required to keep payroll records for a minimum of three to four years for federal purposes, though state laws may require longer retention periods. These records include employee names, addresses, social security numbers, hours worked, wages paid, and deductions. Maintaining accurate records is crucial for compliance and can be reviewed by agencies like the IRS. You can find detailed requirements on IRS Employment Tax Recordkeeping guidelines.

Question 4

What are some best practices for managing payroll?

Accepted Answer

Effective payroll management involves accuracy, compliance, and efficiency. Key best practices include automating time tracking, regular review of wage and hour laws, maintaining meticulous records, and ensuring timely tax filings. Leveraging reliable tools like EZTimeCard.com can significantly streamline this process. For broader insights and support for small businesses, the U.S. Small Business Administration (SBA) offers a wealth of resources.

Frequently Asked Questions

How does overtime calculation work?

What time formats are supported?

Is my data saved automatically?

How does time rounding work?

Can I track multiple breaks per day?

What are the FLSA overtime rules?

How accurate are the calculations?

Can I export my time card?

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