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Highly Compensated Administrative

Reference Number: MTAS-933
Reviewed Date: 09/23/2021

Employees who meet the four criteria below are bona fide highly compensated administrative employees under DOL’s revised exemption regulations.

  • Is the employee’s total annual compensation at least $107,432.
  • Is the employee paid not less than $684 per week exclusive of board, lodging or other facilities?
  • Is the employee paid on a salary basis? With certain limited exception, he/she must:
    • Experience no reduction in salary for variations in the quality and quantity of work;
    • Experience no deduction for partial-day absences;
    • Receives each pay period a pre-determined amount constituting all or part of his/her compensation; or
    • Pay deductions are based on the principle of public accountability. 29 C.F.R. § 541.710.
  • Does the employee regularly and customarily perform one or more exempt administrative duties involving office or non-manual work either:
    • Directly related to management or general business operations of the employer or the employer’s customers; or
    • That includes the exercise of discretion and independent judgment. 29 C.F.R. § 541.601(d).