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Do you have the Inside Information Even Your Accountant May Not Know About California Overtime Pay?

Always a point of difficulty for Californiatraditionally considered exempt from overtime
employers, California Overtime Law requireare actually exempt. Each job description and
paying daily overtime pay in addition toactual tasks performed by professionals such
overtime for hours worked more than 40 peras accountants, and others must be examined
week. However, state legislature changed thiscarefully to make that determination.
overtime law at one timeeliminating dailyCalifornia Overtime Law requires that
overtime requirements. Fortunately, thingsnon-exempt accountants be paid overtime for
quickly shifted direction and Californiaover eight hours worked in a day, or more
Overtime Law was passed to reinstate thethan 40 hours worked in the week. While some
daily overtime requirements. On January 1,salaried accountants may be exempt, depending
2001, current daily overtime rules becameon their duties many may not be. Accountant
effective. On August 23, 2004, Californiathat do not maintain a CPA license, are not
Labor Law Overtime categories called Whiteautomatically professionally exempt in
Collar Exemptions were finally implemented asCalifornia and therefore may be entitled to
modifications to the FLSA (Fair Laborvery large sums of overtime wages accumulated
Standards Act). A new category was added forfrom the past 3 and sometimes for years.
physicians and surgeons on January 1, 2007Furthermore, double-time overtime pay must be
under  California  Labor  Law  Overtime.paid for hours worked over twelve in one day
or in excess of eight on the seventh
California Overtime Pay Regulations forconsecutive day within the workweek.
Non-Exempt  Employees:  A  Simple  TestCalifornia Overtime regulations are contained
in Wage Orders issued by part of the
An experienced California Overtime LawDepartment of Industrial Relations referred
Attorney states, CPA firms seem to believeto as the Industrial Welfare Commission.
that just because an accountant has alwaysUnder California Overtime Law, employers are
been paid a salary and is considered exemptrequired to post the minimum wage and
from overtime that they are exempt. If anovertime regulations in a prominent place
accountant is not directly supervising otherfrequented by accountants and other
employees or exercises a certain amount ofemployees.
independent discretion, they may be entitled
to overtime under California Overtime Law.A common misconception is that an accountant
When it comes to California Overtime Law, thecan work more hours on one day and take
Golden State has the most restrictive laborcompensation time, or compensatory time off
code in the nation. However, there are lawson a different day. An employer has the
to protect employed residents. Individualsability to be flexible with the accountants
have the right to investigate regulationswith regard to their time. California Labor
that apply to California Overtime. TheLaw Overtime still requires overtime to be
California rules for non-exempt accountantspaid if the amount of hours on the day the
should give one an idea of certain issues ataccountant works longer goes more than eight
stake. For the California resident, varioushours. If an employee refuses to work the
questions can be considered in determiningovertime and that refusal is not secured by
accountants  classifications.overtime law, the employer can actually fire
the employee. Fortunately, an accountant
The attorney adds, The California courts asemployed who feels he/she has been unlawfully
well as other courts across the nation havedischarged, should speak with an attorney
broken down the beliefs that jobsimmediately.



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