Two Classifications of Salaried Employees
In California, your rights as a salaried employee depend entirely on whether you are legally classified as exempt or non-exempt , not just the fact that you receive a salary. Simply paying an employee a flat salary does not automatically strip them of their rights to overtime or rest breaks. The Two Classifications of Salaried Employees 1. Exempt Salaried Employees Unpaid wages lawyer California To be properly classified as "exempt" (meaning you are excluded from overtime and mandatory break laws), your employer must prove your position passes a strict three-part test under T h e Salary Threshold Test: You must earn a guaranteed, fixed salary of at least twice the state minimum wage for full-time work. As of January 1, 2026, this threshold is $7 0,304 annually ( $5,858.67 per month). T h e Duties Test: Your actual day-to-day responsibilities must be primarily (more than 50% of your time) executive, administrative, or professional. [1, 2] I n dependent Judgment: You must r...