Tuesday, August 30, 2016 at 1pm ET

Duration: 90 minutes

The penalties for misclassifying or incorrectly paying exempt employees can be devastating. Some of the largest back-pay awards and fines ever recorded are the result of improper exempt worker classification.

A single misclassification can be catastrophic to any company, as penalties and back-pay awards are computed with the same formula for every company—regardless of size. And penalties apply to ALL of the workers with the same job classification under the same manager, not just the one worker who was paid innocently

At this critical juncture, it’s essential that your payroll, HR and Finance teams, and anyone else that that touches your payroll process, receives updated training on identifying and paying exempt employees.

Worker status will be in the spotlight more than ever before as the effective date for new overtime regulations draws closer. Any company flying under the radar with a misclassified employee (intentionally or unknowingly) is at high risk for trouble ahead.

Although the payroll department rarely decides which employees are exempt, it is essential that they understand how the exempt/nonexempt determination is made. And they must follow the strict rules for paying exempt employees and must ensure that no wages are docked improperly.

In this webinar we will discuss the four classifications of exempt employees permitted under the IRS Code: executive, administrative, professional and outside sales. We will examine the salary level test and the salary basis test – and how to apply them. And we will determine what deductions can be properly made from an exempt employee’s salary and which would result in penalties for the employer.