An exempt salary in 2025 refers to the annual compensation paid to employees who are exempt from overtime pay under the Fair Labor Standards Act (FLSA). In other words, these employees are not entitled to receive overtime pay for hours worked beyond 40 in a workweek.
There are several benefits to being an exempt employee. Exempt employees are typically paid a higher salary than non-exempt employees, and they are not subject to the same overtime pay rules. This can lead to a more predictable and consistent paycheck, as well as the potential for higher earnings. Additionally, exempt employees may have more flexibility in their work schedules and may be eligible for additional benefits, such as paid time off and health insurance.
