Blog

New York State Exempt Salary Threshold for 2024

It is exceptionally important to maintain compliance with overtime laws in New York, and with that in mind, businesses should ensure they have adjusted payroll and wages to reflect the changes to New York State’s exempt salary threshold for 2024, for executive and administrative classifications.

New York State Exempt Salary Threshold for 2024

With New York State Labor Laws maintaining a higher salary threshold than what is required in the federal Fair Labor Standards Act (FLSA), maintaining compliance is crucial.

It is also critical to understand how to properly classify employees

Governor Hochul originally announced that New York State’s hourly minimum wage would continue to increase on January 1, 2024, through 2026. While the announcement did not include explicit new salary thresholds for 2024, NYS law has determined that the rates set in the applicable Wage Orders are to increase at the same proportion as the applicable minimum wage increase (historically, it has been 75 times the hourly minimum wage per week).

Since then, New York has finalized its exempt salary thresholds for 2024 all the way through 2026.

UPDATE 12.27.23: The New York State Department of Labor finalized the minimum salary threshold for 2024. 

As of January 1st, 2024, the minimum salary threshold in New York for 2024 is $1,124.20 per week (approximately $58,458.40 annually) in areas outside of New York City, Westchester County, and Long Island.

While in 2023 there was no salary threshold increase for businesses under local legislation, for 2024 businesses located within New York City, Westchester County, and Long Island, the minimum salary threshold did increase to $1,200 per week (approximately $62,400 annually).

New York Salary Threshold 2023

In 2023, the exempt salary threshold was $55,341 annually ($1,064.25 weekly).

In 2023, there was no increase for NYC, Long Island, and Westchester which have their own minimum salary threshold. 

Maintaining Compliance

In order to continue to maintain compliance with New York Overtime Law, any employers, that have employees who met an older salary threshold but no longer meet updated requirements, have two options: 

  • Employers can increase the salary or wages of the employee to keep them above the new threshold, or...
  • Must begin paying said employees for overtime

Get Help with New York Overtime Requirements

Managers who are having trouble managing the new salary threshold, and ensuring the proper employees get paid for overtime should consider reaching out to a New York State Payroll and HR Company.

If you'd like to learn more about the New York State and New York City minimum wage for 2024, you can click here.

To learn more about how EBC is helping businesses with compliance management through payroll software solutions or our latest HR Service Offerings, contact us today. 

New call-to-action