A plain-English guide | Reams Law | November 2026

“You’re on salary, so you don’t get overtime.” Millions of American workers have been told some version of that, and for many of them it is simply wrong. Under the federal Fair Labor Standards Act (FLSA), being paid a salary is only one part of the test. If the rest of the test is not met, a salaried employee is owed overtime — time and a half for every hour over 40 in a workweek — no matter what the offer letter says.

The three-part test for “exempt” employees

To lawfully deny overtime under the common white-collar exemptions, an employer generally must show all three:

1. Salary basis. You receive a fixed, predetermined amount each pay period that is not reduced because of the quality or quantity of your work.
2. Salary level. You are paid at least $684 per week ($35,568 per year). The Department of Labor’s 2024 attempt to raise that figure was struck down in court, and in May 2026 the Department formally restored the $684 level.
3. Duties. Your primary duty is genuinely executive, administrative, or professional work — for example, managing the business and supervising at least two full-time employees, exercising independent judgment on significant matters, or doing work that requires an advanced degree.

Job titles do not decide the question. An “assistant manager” who spends the day running a register and stocking shelves, or an “administrator” who does data entry, may not be exempt at all.

Common ways Oklahoma workers are shorted

• Day rates. Common in the oilfield. In Helix Energy Solutions Group v. Hewitt (2023), the U.S. Supreme Court held that a highly paid rig worker on a day rate was not paid on a “salary basis” and was owed overtime — even though he earned more than $200,000 a year.
• Misclassified “independent contractors.” If the company controls your schedule, your tools, and how you do the work, and you work for it week after week, you may legally be an employee.
• Inflated titles. “Manager,” “lead,” or “coordinator” positions with no real authority.
• Off-the-clock work. Pre-shift meetings, required travel between job sites, working through automatically deducted lunch breaks, and after-hours calls and texts.
• Bonuses left out of the overtime rate. Non-discretionary bonuses and shift differentials generally must be included when calculating time and a half.

What you can recover

• Back overtime for up to two years, or three years if the violation was willful;
• Liquidated damages — an additional amount equal to the unpaid overtime, effectively doubling the recovery, unless the employer proves it acted in good faith;
• Attorney’s fees and costs, paid by the employer when the employee prevails.

Because every week that passes can push an older week outside the limitations period, waiting costs money. The law also prohibits retaliation against employees who raise overtime concerns.

How to check your own situation

1. Do you regularly work more than 40 hours a week?
2. Are you paid a true salary of at least $684 a week — or a day rate, hourly rate, or piece rate?
3. What do you actually spend most of your time doing?
4. Do you hire, fire, or supervise anyone? Do you make significant decisions without approval?
5. Do you have any records of your hours — texts, emails, GPS, badge swipes, a personal log?

You do not need perfect records. Employers are required to keep time records, and when they fail to, courts allow employees to prove their hours by reasonable estimate.

Frequently asked questions

I agreed to be salaried with no overtime. Does that matter?

No. Overtime rights under the FLSA generally cannot be waived by agreement.

Can several coworkers bring a claim together?

Yes. The FLSA allows “collective actions” in which similarly situated employees join one case.

Does Oklahoma have its own overtime law?

Oklahoma largely relies on the federal FLSA for overtime, which is why most Oklahoma overtime cases are brought under federal law.

Talk to Reams Law

Reams Law represents employees in unpaid overtime and wage cases. If you are working long hours on a salary or day rate, call (405) 285-6878 or contact us online for a review. Learn more on our Overtime & Employment page.

This article discusses federal law in general terms. It is not legal advice, and reading it does not make anyone a client of this firm. Statutes change, courts reinterpret them, and the outcome of any matter depends on its own facts. Speak with a lawyer about your situation specifically.