1. Introduction
If you have hourly employees that earn bonuses, commissions, or other performance payments, this article is for you.
Properly compensating such employees is often not as simple as paying “time and a half” or “double-time” for qualifying hours. Rather, federal law, and the laws of many states, require employers to “recalculate” overtime rates to include certain types of non-hourly compensation and pay overtime at those higher rates. Many employers fail to make such payments, and of those that attempt to pay overtime (and double-time) at rates which ...
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