The church must pay overtime to all eligible employees unless they fit into an exception to the law. If you fall into one of these exception categories, you are “exempt” from the federal overtime law, which means you are not entitled to overtime.
- executive, administrative, and professional employees who are paid on a salary basis
- independent contractors
- volunteers
- outside salespeople (employees who customarily and regularly work away from the employer’s business, selling or taking orders to sell goods and services)
- certain computer specialists (such as systems analysts, programmers, and software engineers) who earn at least $27.63 per hour
- employees of seasonal amusement or recreational businesses, such as ski resorts or county fairs
- employees of organized camps, or religious or nonprofit educational conference centers that operate for fewer than seven months a year
- employees of certain small newspapers
- newspaper deliverers
- workers engaged in fishing operations
- seamen
- employees who work on small farms
- certain switchboard operators
- criminal investigators, and
- casual domestic baby sitters and people who provide companionship to those who are unable to care for themselves (this exception does not apply to those who provide nursing care, or to personal and home care aides who perform a variety of domestic services).
Clergy Financial Resources serves as a resource for clients to help analyze the complexity of clergy tax law, church payroll & HR issues. Our professionals are committed to helping clients stay informed about tax news, developments and trends in various specialty areas.
This article is intended to provide readers with guidance in tax matters. The article does not constitute, and should not be treated as professional advice regarding the use of any particular tax technique. Every effort has been made to assure the accuracy of the information. Clergy Financial Resources and the author do not assume responsibility for any individual’s reliance upon the information provided in the article. Readers should independently verify all information before applying it to a particular fact situation, and should independently determine the impact of any particular tax planning technique. If you are seeking legal advice, you are encouraged to consult an attorney.
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