Can an employee who is paid by the hour be exempt from overtime?

Yes, but only in certain occupations. Many exempt employees must be paid a fixed salary, but some can be paid by the hour. For example, the computer employee and outside sales overtime exemptions do not require paying a salary, so employees in those positions could be paid by the hour.

In addition, teachers and those who practice law or medicine (such as lawyers and doctors) may be exempt from overtime, even if paid by the hour. Even interstate truck drivers and certain other employees of a motor carrier can be exempt from overtime, but could be paid by the hour (or by the mile, trip, or some other method). Other occupations might be exempt as well, even if not paid a salary.