An employee that must be paid overtime pay when the employee's weekly hours exceed 40
hours. Some states may have additional requirements. Nonexempt employees include both
hourly-paid and salary-paid who are not highly-paid.
Harold Averkamp (CPA, MBA) has worked as a university accounting instructor, accountant, and consultant for more than 25 years. He is the sole author of all the materials on AccountingCoach.com. Read more about the author.