BRIDGEWATER, MA…
Effective December 1, 2016, an estimated 4.2 million workers will be eligible for overtime pay, according to the changes to the Fair Labor Standards Act (FLSA) overtime rules. Those eligible include salaried employees earning between 23,660 and $47,476 and highly compensated employees with an annual salary between $100,000 and $134,004. The new rules have more than a few large, medium and small-businesses scrambling to prevent the new rules from dramatically impacting their bottom line.
“Being a salaried employee was like a blank check for owners in terms of staffing. If staff was needed to stay late or work on the weekend, a salaried employee wouldn’t cost them extra,” said Mark Kilduff, president of Remote Quality Bookkeeping. “The new rules put the onus on a company’s operations and accounting departments to track overtime hours for salaried staff and make sure paying overtime doesn’t wipe out the bottom line.”
The new overtime rules do not affect every salaried employee. Some can be classified as exempt if they meet all of the following requirements: paid on a salary basis; paid a salary that meets or exceeds the minimum requirement; paid their full salary in any workweek in which they perform work; perform specific job duties that are considered executive, administrative, professional, computer, or outside sales.
“The good news about the new rules is that companies have known since May that these new rules were coming. The bad news for some companies is that they have only had since May to prepare for this,” said Kilduff. “The better news is that the rule changes will force companies to examine their operations and books to better prepare for the coming year and that’s always a good thing.”
For more specific details on whether or not employees are exempt can be found on the Department of Labor’s website, https://www.dol.gov/whd/overtime/final2016/overtime-factsheet.htm
Remote Quality Bookkeeping provides clients with a resource where they can outsource a few bookkeeping tasks or their entire accounting and bookkeeping department. Remote Quality Bookkeeping’s team approach ensures that the books are accurate and up-to-date all for one low monthly fee.
Remote Quality Bookkeeping hosts data on secure servers providing clients with a safe haven accessible from anywhere at any time. This allows accessibility and peace of mind so business owners can focus on their business.
Remote Quality Bookkeeping is located at 12 Spring Terrace, Bridgewater, MA 02324. For more information, call (508) 889-0201 or visit www.myrqb.com.
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