Comments on: Is It Better to Earn a Salary or Get Paid by the Hour? http://beatyourowndrum.com/career/2006/11/is-it-better-to-earn-salary-or-get.html Surviving and Thriving (At Work and At Home) Wed, 07 Jan 2009 00:32:44 +0000 http://wordpress.org/?v=2.6.2 By: Surviving and Thriving (At Work And at Home) - Eric Boehme http://beatyourowndrum.com/career/2006/11/is-it-better-to-earn-salary-or-get.html#comment-77465 Surviving and Thriving (At Work And at Home) - Eric Boehme Fri, 04 Jul 2008 17:52:15 +0000 http://beatyourowndrum.com/career/2006/11/is-it-better-to-earn-a-salary-or-get-paid-by-the-hour.html#comment-77465 ]]> By: eric http://beatyourowndrum.com/career/2006/11/is-it-better-to-earn-salary-or-get.html#comment-67914 eric Fri, 13 Jun 2008 13:41:39 +0000 http://beatyourowndrum.com/career/2006/11/is-it-better-to-earn-a-salary-or-get-paid-by-the-hour.html#comment-67914 Thanks for the question. The decision really depends on what your driver is. I assume the driver here is your annual income. That being the case, as a non-exempt employee you get paid for every hour you work, plus a premium rate for every hour you work over 40 hours. As an exempt employee, you have a fixed salary and often work extra hours as well. The concept of overtime does not exist. So, the question is, how many hours a week do you think you would be working if you were exempt? If it is about the same and your annual salary matches the $65k number, then you are ok. If your employer would give you a salary based on your $24 an hour rate X 40 hours a week, then you will work more hours for less money. There is no "status" with being an exempt employee. I know the perception is out there, but dismiss that notion. It all boils down to whether you will be compensated more fairly as a non-exempt or an exempt. If I read the last part of your comment, I am assuming your overall annual income will drop if they make you exempt. That is usually the case. Just remember, your hours may not drop. If that is the case, staying non-exempt is your answer. Thanks for the question. The decision really depends on what your driver is. I assume the driver here is your annual income. That being the case, as a non-exempt employee you get paid for every hour you work, plus a premium rate for every hour you work over 40 hours. As an exempt employee, you have a fixed salary and often work extra hours as well. The concept of overtime does not exist.

So, the question is, how many hours a week do you think you would be working if you were exempt? If it is about the same and your annual salary matches the $65k number, then you are ok. If your employer would give you a salary based on your $24 an hour rate X 40 hours a week, then you will work more hours for less money.

There is no “status” with being an exempt employee. I know the perception is out there, but dismiss that notion. It all boils down to whether you will be compensated more fairly as a non-exempt or an exempt.

If I read the last part of your comment, I am assuming your overall annual income will drop if they make you exempt. That is usually the case. Just remember, your hours may not drop. If that is the case, staying non-exempt is your answer.

]]> By: Environmental Guru http://beatyourowndrum.com/career/2006/11/is-it-better-to-earn-salary-or-get.html#comment-67650 Environmental Guru Fri, 13 Jun 2008 03:03:31 +0000 http://beatyourowndrum.com/career/2006/11/is-it-better-to-earn-a-salary-or-get-paid-by-the-hour.html#comment-67650 I'm paid $24/hr, but I make about $65k/yr with overtime. I manage three people and a significant part of my department, so I'd like to go on exempt salary just for the status. Is that unwise? Or is there a benefit to going salary even if the pay stays the same? I’m paid $24/hr, but I make about $65k/yr with overtime. I manage three people and a significant part of my department, so I’d like to go on exempt salary just for the status. Is that unwise? Or is there a benefit to going salary even if the pay stays the same?

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