![]() Non-exempt salaried employees, on the other hand, are eligible for overtime pay-so even though they’re paid salary, you need to keep a record of their hours to determine if and when you need to pay them overtime. Exempt salaried employees aren’t eligible for overtime pay-and, as such, there’s no need to track their hours. When it comes to salaried employees, you may or may not need to track their hours it all depends on whether they’re exempt or non-exempt. But where business owners sometimes get confused is when it comes to salaried employees. If you have hourly employees, you absolutely need to track their hours. Under the federal Fair Labor Standards Act (FLSA) and individual state labor laws, keeping records of your employees’ work hours is actually a legal requirement.īut what are the time clock rules for hourly employees? What information do you need to keep track of? How do you need to track that information? And what are you required to do with that information once you have it on record? Which employees’ hours do you need to track?įirst things first-before we jump into all-things time tracking, let’s quickly cover which employees’ time you actually need to track. ![]() From a business perspective, keeping track of when and how long your employees work is important you want to make sure they’re getting paid accurately for the hours they put in-and that you aren’t under or overpaying your team.īut keeping track of your hourly workers and non-exempt employees’ hours is more than just a good business practice. ![]()
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