{"id":3810,"date":"2023-05-18T21:14:00","date_gmt":"2023-05-18T15:44:00","guid":{"rendered":"https:\/\/www.complianceprime.com\/blog\/?p=3810"},"modified":"2024-03-23T14:39:20","modified_gmt":"2024-03-23T09:09:20","slug":"what-is-compensatory-time-off-guidelines-for-exempt-and-nonexempt-employees","status":"publish","type":"post","link":"https:\/\/www.complianceprime.com\/blog\/2023\/05\/18\/what-is-compensatory-time-off-guidelines-for-exempt-and-nonexempt-employees\/","title":{"rendered":"What is compensatory time off? Guidelines for exempt and nonexempt employees."},"content":{"rendered":"\n

A compensatory time off policy, or comp time, allows employees to take time off rather than receive overtime pay if they work beyond their scheduled hours. Many industries have compensation time policies, particularly in the public and government sectors, which can provide employees with increased flexibility and work-life balance. A paid day off can be a vacation day, sick leave, or personal day. Compensatory time off can sometimes be reimbursed financially.<\/p>\n\n\n\n

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In this blog, we will discuss FLSA compensatory time off guidelines for both exempt and nonexempt employees.<\/p>\n\n\n\n

Exempt and non-exempt employee’s compensatory time off guidelines by FLSA<\/h2>\n\n\n\n

The purpose of compensatory time off is to make up for extra hours worked. Overtime pay laws differ from state to state and depending on whether you’re exempt or not. According to FLSA guidelines, employees must use their accrued compensatory time off (CTO) by the 26th day of the period in which they earned it. When an employee fails to use their compensatory time off due to exigencies of service outside their control, they must be paid at the overtime rate for the unused time.<\/p>\n\n\n\n

Non-exempt employees:<\/h2>\n\n\n\n