Payroll Vault

IT'S TIME TO RETHINK PAYROLL

WE'LL KEEP YOU COMPLIANT & EFFICIENT

Get Started Today

The Department of Labor doubled the salary threshold for employees to qualify as exempt (not entitled to overtime) from $23,000 to more than $47,000 a year. Employees covered by the Fair Labor Standards Act (FLSA) will be entitled to overtime pay. All employers must comply by December 1, 2016.

Understand New Requirements to Stay Compliant with FLSA

Recordkeeping Requirements as Specified by DOL

“Every covered employer must keep certain records for each non-exempt worker.

The Act requires no particular form for the records, but does require that the records include certain identifying information about the employee and data about the hours worked and the wages earned. The law requires this information to be accurate.” Examples of the basic records that an employer must maintain:

  • Time and day of week when employee’s workweek begins
  • Hours worked each day
  • Total hours worked each workweek
  • Basis on which employee’s wages are paid (e.g., “$9 per hour”, “$440 a week”, “piecework”)
  • Regular hourly pay rate
  • Total daily or weekly straight-time earnings
  • Total overtime earnings for the workweek
  • All additions to, or deductions from, the employee’s wages
  • Total wages paid each pay period
  • Date of payment and the pay period covered by the payment

How Long Should Records Be Retained?

  • Each employer shall preserve for at least three years payroll records for employees.
  • Records on which wage computations are based should be retained for two years. For example: time cards and piecework tickets, wage rate tables, work and time schedules, and records of additions to or deductions from wages.
  • The records may be kept at the place of employment or in a central records office.

What are Timekeeping Requirements?

  • Employers may use any timekeeping method they choose. For example, they may use a time clock, have a timekeeper keep track of employee’s work hours, or tell their workers to write their own times on the records.
  • Any timekeeping plan is acceptable as long as it is complete and accurate.

Our timekeeping solutions can help you reduce your labor costs by restricting staff from working unscheduled overtime

uxicached