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Highly Compensated Creative Exemption

Reference Number: MTAS-937
Reviewed Date: 09/23/2021

(Employees who meet the criteria below are bona fide highly compensated creative professional employees under DOL’s regulations.

  • Is the employee’s total annual non-discretionary compensation at least $107,432? 29 C.F.R. § 541.601(a).
  • Is the employee paid on a salary or fee basis a minimum of $684 per week exclusive of board, lodging or other facilities? 29 C.F.R. § 541.601(b).
    • Is the employee paid on a salary basis? With certain limited exceptions he or she must:
      • Experience no reduction in salary for variations in the quality and quantity of work;
      • Experience no deduction for partial-day absences;
      • Receive each pay period a pre-determined amount constituting all or part of his or her compensation; or
      • Pay deductions are based on the principle of public accountability. 29 C.F.R. § 541.710.
    • Alternately, is the employee paid on a fee basis? 29 C.F.R. § 541.605.
  • Does the employee regularly and customarily perform one or more exempt professional duties involving work that requires invention, imagination, originality or talent in a recognized field of artistic or creative endeavor. 29 C.F.R. § 541.302.