Expert: Shirley McAllister, CPP, PHR - 10/2/2008

Question
My husband was just switched to a Bi-Monthly payroll, being piad on the 1st and the 15th. the Company stated that they would lose out on 4 weeks of time per year since some months have 5 weeks in them. Truly this cant be right can it? He also stated that they are paid a salary but if you take off you are not paid for that day. So does that mean they are salry non-exempt? if they are shouldnt they get paid for OT? please advise thank you.

Answer
They should not miss out on any time during the year.  They would just be paid more each pay period.

If they earn 10,000.00 a year and are paid bi weekly than they would earn 384.61 a pay period.

If the same employee earning 10,000 a year is paid semi monthly there are only 24 pay periods instead of 26 so that employee would earn 416.66 a pay period.

It does not matter if they are exempt or non exempt they are not paid for one full day if they are off and not working.

Exempt must be paid for a full day if only part of a day is worked, but if they are off the full day they do not have to be paid. They are not paid overtime.

non exempt are paid only for the hours they work so if they are off part of a day they are only paid for the part they work. They are paid overtime if they work overtime.

You would have to check with the company to find out if the job is classified as salaried exempt or salaried non exempt. If overtime is not paid I would think it is salaried exempt.

Shirley