Do you wish you had more time, more money, or perhaps both? This will become reality for millions of workers come December 1, 2016.
The Department of Labor (DOL) sounded off on the final notice about the salary floor increasing from $455/week to $913/week. So, what does this mean for you? If you make less than $913/week and on a salary position with your employer you're now required to receive overtime compensation. All those hours of work you've invested over 40/week are about to become extra income for you. This law was passed in hopes to grow the middle class economically. The new law takes effect December 1, 2016. So, what exactly does this mean for employers? Well, employers will either need to adjust their paying positions (moving salary to hourly), raise your salary, or give you some much needed time off. This will effect approximately 4.2 million workers according to the DOL website. With this new law passed we will see automatic salary updates every 3 years. Does this mean your salary will increase every 3 years? Not exactly, the DOL will base the increases upon wage growth with overtime, and the increasing predictability of hours worked by the average American workforce. For more information about the salary increase and how it may affect you please feel free to call our office today (812)258-4002.
Premier Accounting wants to make sure you are up-to-date on the every changing effects of IRS policies.