Report is there will be some legal challenges to the labor change, but here is what is now the new requirements:
July 1, 2024 salaried employees making less than $43,888 per year will become eligible for overtime pay.
January 1, 2025, salaried employees making less than $58,656 per year will become eligible for overtime pay.
What this means
If you are hourly, this does not affect you currently, but may in the future, when you land that first salary job. There are many different levels in this. You have people above these numbers, you have people below these numbers and you have people in the middle. It is your employer who has the choice of what this will mean to you. Your employer can choose what to do. They can keep you salary and make you overtime eligible, so you have to track your hours. They can raise you to the minimums defined above, but I don’t see them upping people from below $43,888 to $58,656 all within a year. The other option I want to make you aware of, is they could convert you from salary to an hourly position.
What if I go hourly
While I cannot predict what this will mean for you, but if you do not currently clock in you will have to. I would hope your employer would take your salary and use the hourly rate. Take your salary divided by 52 weeks divided by 40 hours per week. I have seen a weird formula that people use, but this is pretty simple.
Example: $43,500 {43500/52/40 = 20.67 per hour}
Overtime Calculation Example: 20.67*1.5=31.01
For any hours you work over 40, your pay would be 31.01.
Working 40 hours plus 5 overtime for 2 weeks equals gross pay $1963.70.