New York Pay Requirements

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New York Overtime Rules

New York law requires employers to pay employees overtime, unless otherwise exempt, when they work more than 40 hours in a workweek. An employer is required to pay one and one-half times the employee's regular rate of pay for all hours worked in excess of 40 hours in a workweek for most employees eligible for overtime. 

There are some additional pay requirements, such as those for employees who work split shifts or a shift that lasts more than 10 hours. These employees may be entitled to one additional hour's pay for the day.

NY Department of Labor: Overtime Frequently Asked Questions (FAQ)

Mineral: New York Minimum Wage & Overtime*

New York Minimum Wage

New York employers can find the most up-to-date minimum wage requirements on the New York State Department of Labor’s website. The applicable minimum wage is based on where an employee performs work. Workers must be paid the minimum wage rate for their work location regardless of where the main office of their employer is located. New York City and its surrounding counties (Nassau, Suffolk, and Westchester) currently have a higher minimum wage than the rest of the state.

There are also different minimum wage rates for tipped service employees. Please refer to the New York State Department of Labor linked resource above for details.

New York Exempt Salary Threshold

New York has exemption regulations that differ in some ways from the federal Fair Labor Standards Act (FLSA). Employers should review the state’s requirements when determining whether an employee is exempt from minimum wages and overtime requirements. 

Among those differences, the New York Department of Labor (NY DOL) has adopted regulations which annually increase the salary requirements for employees exempt under the executive and administrative exemptions. These requirements differ based on employee work location, and can be viewed in the chart below.

Minimum Pay Requirements for Exempt^ Employees in New York State 
Effective Date New York City + Nassau, Suffolk, and Westchester Counties Remainder of New York State
Weekly Annual Weekly Annual
January 1, 2024 $1,200 $62,400 $1,124.20 $58,458.40
January 1, 2025 $1,237.50 $64,350 $1,161.65 $60,405.80
January 1, 2026 $1,275 $66,300 $1,199.10 $62,353.20

^Rates in this table apply to employees exempt from minimum wage and overtime under the New York state administrative and executive exemptions. Read further at the NYSDOL links below.

New York employers will need to identify employees affected by the changes and decide whether to increase their salaries so as to maintain their exempt status or, alternatively, reclassify them as non-exempt.

Resources

New York Department of Labor (DOL): Overtime and Exemptions FAQ

New York DOL: Administrative Employee Overtime Exemption FAQ

New York DOL: Executive Employee Overtime Exemption FAQ

New York DOL: Professional Employee Overtime Exemption FAQ

New York DOL: Minimum Wage FAQ

Notes

*Be sure you’re logged into your Justworks account with administrative permissions to access Mineral.

 

Disclaimer

This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, legal or tax advice. If you have any legal or tax questions regarding this content or related issues, then you should consult with your professional legal or tax advisor.