March Compliance Tip: Audit Your Overtime Calculations Now β Not After Peak Season
As businesses begin ramping up for spring and summer activity, March is the ideal time to proactively review overtime compliance under the FLSA.
Here are four areas I recommend employers examine:
π 1. Regular Rate of Pay
Are non-discretionary bonuses, commissions, and incentives properly included in overtime calculations?
π 2. Exemption Classifications
Do salaried employees still meet the salary level, salary basis, and duties tests?
π 3. Timekeeping Practices
Are rounding policies neutral? Are automatic meal deductions verified? Is all off-the-clock work captured?
π 4. Defined Workweek
Is your 168-hour workweek clearly established and consistently applied?
Small calculation errors multiply quickly β especially as overtime hours increase during busy seasons. A proactive internal review today can prevent costly back wage exposure tomorrow.
If your organization would benefit from an independent wage and hour compliance review, letβs connect.
#WageAndHour #FLSA #OvertimeCompliance #HRCompliance #PayrollAudit #RiskManagement
