Exemptions: Overtime & minimum wage - Minnesota

Summary of differences between federal and state regulations

To qualify for exemption, employees generally must meet certain tests regarding their job duties and Section 13(a)(1) of the FLSA provides an exemption from both minimum wage and overtime pay for employees employed as bona fide executive, administrative, professional, and outside sales employees. Section 13(a)(1) and Section 13(a)(17) also exempt certain computer employees.

be paid on a salary basis at not less than $684 per week. Job titles do not determine exempt status. In order for an exemption to apply, an employee’s specific job duties and salary must meet all the requirements of the Department’s regulations.

These salary minimum does not apply to outside sales employees, teachers, and employees practicing law or medicine. Exempt computer employees may be paid at least $684 on a salary basis or on an hourly basis at a rate not less than $27.63 an hour.

The following employees are exempt from Minnesota's overtime provisions: certain healthcare workers, motor vehicle salespeople, mechanics, and constructors of on-farm silos. In addition, the following individuals are exempt from standard wage provisions: any agricultural unit employing 2 or fewer individuals who are paid a salary, individuals who are in executive, administrative or professional positions, elected officials, taxi operators, sole-practitioner babysitters, state natural resource managers, seafarers, and members of religious orders.

Minnesota requires that outside sales employees conduct no more than 20 percent of sales on the employer's premises.

The state does not reference (and may not recognize) the “highly compensated employee” exemption for those earning over $107,432 per year.

State

Contact

Minnesota Department of Labor and Industry

Regulations

Minnesota Statutes
Labor standards and wages
177.25 Overtime.

Minnesota Statutes
Labor standards and wages
177.23  Definitions.

Minnesota Administrative Rules, Chapter 5200, Sections 5200.0180 through 5200.0220 (Executive, Administrative, and Professional Personnel; Executive Tests; Administrative Tests; Professional Tests; Salary; Outside Salesperson)

Federal

Contact

The Department of Labor is the federal agency that monitors hours worked.

Regulations

Regulations for exempt employees can be found in CFR 29 Part 541, Defining And Delimiting The Exemptions For Executive, Administrative, Professional, Computer And Outside Sales Employees