Overtime Salary Threshold to Increase July 1, 2024

April 25, 2024

The U.S. Department of Labor has announced a final rule that amends regulations under the Fair Labor Standards Act. Under the rule, the overtime threshold will increase from $35,568 to $43,888 effective July 1, 2024.

On January 1, 2025, the amount will increase to $58,656. Additional increases will automatically go into effect every three years after that.

About Minimum Wage & Overtime Protections

The final rule applies to minimum wage and overtime protections under the Fair Labor Standards Act. Employees are exempt from these protections if they:

  • Are paid a salary, which is a fixed amount not subject to the quality or quantity of work performed;
  • Are paid a weekly salary that exceeds the minimum threshold; and
  • Primarily work in an executive, administrative or professional capacity

See a detailed breakdown of the current and upcoming salary exemption levels.

If you have questions on how this rule will impact your company, please reach out to our HR consulting team: Vicki Boroff or Alli Thurman.