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Together We Can Attorneys Who Fight For Workers' Overtime Pay

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If you work for commission, overtime can be a sore subject

Some mortgage officers enjoy the completely commission-based model of employment, with good reason.

Commission can be a great way for an employee to bet on himself or herself. Basing pay completely on performance can lead to higher paydays and better rewards for hard work.

However, with commission-based pay comes the possibility of losing earned overtime compensation. Here are some potential issues to look out for when working strictly on commission:

Employers may not know how to calculate overtime rates based on commission work.

There is a simple formula for calculating overtime based on commission: the amount in commission made for the week divided by 40 is an employee’s pay rate.

This rate is used as baseline pay to calculate what overtime pay should reflect. The employee should be paid at time and a half for any hours past 40.

This number will change often, and some weeks working overtime is simply not worth it for a commissioned employee.

Employers may not think they are required to pay commissioned employees for overtime.

According to the United States Department of Labor, most commissioned employees are eligible for overtime.

Employers are expected to know labor laws and follow them accordingly.

Never let an employer tell you that commission disqualifies you from overtime benefits. This is false.

Do not work below your value for any employer, and make sure that whenever you work for commission, you are getting fair pay for the hours you put in.

If you feel you are owed overtime pay, contact legal representation set on getting you fair compensation for your work.

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