Important Wages Information
In the U.S., the federal minimum wage is currently set at $7.25 an hour, as established in the Fair Labor Standards Act (FLSA). But many states in the Union also have their own minimum wage requirements. In the case that these two figures conflict, employees are entitled to the higher of the two wages.
For example, the minimum wage in Florida is $8.25 an hour. This is a full dollar higher than the Federal minimum wage, but employees residing in the Sunshine State are entitled to this higher amount.
While on the topic of wages, there are a few more important details you need to be aware of:
In the U.S., federal law mandates that employees who have clocked more than 40 hours in any given work week are entitled to a minimum of one and a half times pay for each extra hour.
Using the time card calculator above, you can easily discover your weekly wage, including overtime. Let's say that you worked a total of nine hours a day, Monday through Friday, and your base pay is $20 an hour. Your total hours worked would tally 45 (40 regular and five overtime hours), resulting in $950. The math equation is as follows:
$20 (your normal hourly wage) [multiplied by] 40 (the amount of regular hours you worked) + $30 (your 1.5x overtime hourly rate) [multiplied by] 5 (the amount of overtime hours you worked).
Exempt and Nonexempt Employees
There are two kinds of employees in the U.S. according to the FLSA: exempt and nonexempt.
Nonexempt employees, most of which are hourly workers, are those entitled to both minimum wage and overtime pay of at least 1.5x their standard wage.
Exempt employees, on the other hand, are not protected by the FLSA and therefore not entitled to overtime pay. Typical "exempt" positions include executives, sales people, seasonal workers, farm workers, and other salaried professionals.
Often times it can be difficult to properly classify yourself as exempt or nonexempt. If you're having trouble, ask yourself these three simple questions:
- Do I make at least $23,600 a year? (Roughly $455 a week.)
- Am I paid on salary rather than by the hour?
- Do I perform certain "exempt" job duties such as manage a department or supervise other employees, perform administrative duties in an office, or accomplish work that requires advanced knowledge?
If you answered "yes" to all three of these questions, you're likely an exempt worker and NOT entitled to either a minimum wage of at least $7.25 an hour (in the U.S.) or overtime pay under federal law.
Where Do Time Cards Come From?
Time cards were first introduced during the industrial revolution as a way to more efficiently track the working hours of factory workers. The first successful time recording machine was invented by Daniel M. Cooper in 1894 and named the Rochester Time Recorder.
Over the years, technology developed and time card calculators became more advanced. Mega corporation IBM even created a time recorder division within their company to further progress in this field.
Today, the easiest way to track your time and tally your hours is with Toggl Track. Toggl Track will let you easily track your work hours on various platforms (mobile, desktop and web) and the free time card calculator on this page will help you crunch the numbers and accurately predict your weekly earnings. Good luck!