📅 2026 Update: Changes in Kentucky Overtime Laws

Since the original article was written, there have been important changes to overtime laws in Kentucky that affect both employers and employees. Key updates include shifts in salary thresholds and the status of exempt employees. The earlier article continues further down the page to provide foundational information on these laws.

📈 New Salary Thresholds

In April 2024, the U.S. Department of Labor (DOL) released a rule to raise the minimum salary level for overtime exemptions. This was set to increase the standard salary to a higher level.

However, in November 2024, this change was reversed, returning to the 2019 threshold of $684 per week for exempt employees.

⚖️ Highly Compensated Employees

The total annual compensation requirement for highly compensated employees remains at $107,432. This amount has not changed since the DOL reverted to the 2019 standards. Understanding these thresholds is vital for determining which employees qualify for overtime pay.

📅 Future Updates

The DOL plans to update salary thresholds every three years, with the next update set for July 1, 2027. This means that employers should stay informed about these changes as they could impact payroll and overtime calculations.

📜 Employer Responsibilities

Employers must evaluate employee exemption status based on salary basis, salary level, and job duties. Proper assessment helps ensure compliance with the Fair Labor Standards Act (FLSA).

📌 Key Points Summary

  • Minimum salary level for exemption is $684 per week.
  • Highly compensated employees must earn at least $107,432 annually.
  • Future updates to salary thresholds are scheduled every three years.
  • Employers need to assess exemption status accurately.
  • Understanding state-specific laws is also essential for compliance.

💡 Tips for Understanding Overtime Regulations

Review the details of your own situation with your attorney. Understanding the specifics of your employment can help clarify your rights.

🔍 Know Your Exemption Status

Employers should regularly assess which employees are eligible for exemption status. This involves evaluating job duties and salary levels according to the FLSA criteria.

💰 Track Hours Worked

Employers are required to maintain accurate records of hours worked and wages paid. This is essential for compliance and to avoid any disputes over unpaid overtime.

🕒 Understand Overtime Pay Calculations

Overtime pay must be calculated at a rate of at least time and one-half the regular pay for hours worked over 40 in a workweek. Non-exempt employees should ensure they receive correct overtime compensation.

🗓️ Keep Up With State Laws

State laws can differ from federal regulations and may offer additional protections. Employees should familiarize themselves with Kentucky's specific rules regarding overtime compensation.

📞 Utilize DOL Resources

The DOL provides various guidance materials and fact sheets to help both employers and employees. These resources can clarify regulations and assist in understanding overtime laws.

❓ Frequently Asked Questions

❓ What is the minimum salary level for overtime exemption in Kentucky?

As of November 15, 2024, the minimum salary level for exemption under the FLSA is $684 per week.

🔍 How is overtime pay calculated for non-exempt employees?

Overtime pay for non-exempt employees is calculated at a rate of at least time and one-half their regular pay for hours worked over 40 in a workweek.

📋 What criteria must employees meet for exemption status?

Employees must meet specific criteria regarding their job duties and compensation to qualify for exemption under the FLSA.

⏳ How often will the DOL update salary thresholds?

The DOL plans to update salary thresholds every three years, with the next update scheduled for July 1, 2027.

📜 Are there state-specific overtime laws in Kentucky?

Yes, Kentucky may have state-specific overtime laws that provide additional protections beyond federal standards.

🛠️ What resources does the DOL offer to help with overtime regulations?

The DOL provides guidance materials, fact sheets, and resources to help employers and employees understand overtime regulations.

⚖️ Recent Cases Related to Overtime Regulations

Recent court rulings reflect ongoing interpretations of overtime laws and how they apply to various employment situations. These rulings can influence how employers handle overtime pay and employee classifications.

For more information on recent rulings, you can browse more rulings on the news page.

End of October 2026 Update







 



Guide to Kentucky Overtime Laws



Most employees in the state of Kentucky are covered by KY overtime laws, which require additional pay for long hours.  In some cases, employers violate Kentucky overtime laws intentionally or due to ignorance of the law.  If you work in the state, you should know KY overtime laws so that you can understand whether you are eligible for overtime and whether your employer is in compliance.  This guide will explain the basics, including who is exempt from overtime laws and when employers must pay.  If you need more in-depth information or legal advice, you should talk to a labor and employment attorney in your area.

Kentucky Overtime Laws


Am I Exempt from Kentucky Overtime Laws?



Not all workers are covered by KY overtime laws.  If you work more than 80 percent of your work hours in an administrative, executive, professional, or outside sales capacity, you are not entitled to overtime pay according to Kentucky overtime laws or the Federal Labor Standards Act (FLSA).  



While some people believe that all salaried employees are exempted from KY overtime laws, this is not the case.  If your job duties are not overwhelmingly exempt duties, your job will not be considered exempt and you will be eligible for overtime pay.  Talking to a labor lawyer can help you understand whether your job duties would be considered exempt, and whether you may have a case against an employer who did not pay overtime.



What Hours Count For Overtime?



According to Kentucky overtime laws, non-exempt employees are entitled to overtime in two circumstances.  All hours worked in excess of 40 per week must be paid overtime.  If you work more than 8 hours in a day, KY overtime laws do not necessarily require overtime, unless it brings your weekly total to 40 or more.



Kentucky overtime laws also require employers to pay overtime rates for employees who are working a seventh day in a row without a day of rest.  This is to discourage employers from having employees work many days in a row and encourage rest days.  If your employer is not paying you overtime for your seventh day of work and you are a non-exempt employee, you may be able to get back wages paid by filing a complaint with the state Department of Labor.



How Much Is Overtime?



According to KY overtime laws, overtime rates are one and a half times a person's normal wage.  For minimum wage workers, current Kentucky overtime laws require a wage of $10.88 per hour for overtime hours.  No double time is required, for holidays, weekends, or any number of hours worked.



Common Violations of Kentucky Overtime Laws



Employers are not allowed by KY overtime laws to give employees “comp time” in lieu of paying overtime.  Employers may also not average an employee's hours over two weeks (for instance, claiming an average of 40 hours worked when an employee worked 60 hours in one week and 20 in another) in order to avoid payment of overtime to non-exempt employees.