Missouri Labor Laws for Salaried Employees: Pay, Overtime, and Exemptions
Being paid a salary does not automatically exempt an employee from overtime or other wage protections. In Missouri, the rules depend on the employee’s duties, pay arrangement, and applicable state and federal law. Understanding how minimum wage, overtime, deductions, breaks, and final pay work can help employees and employers avoid costly mistakes.
How Missouri Labor Laws Apply to Salaried Employees
Missouri’s wage and hour requirements operate alongside the federal Fair Labor Standards Act (FLSA). The FLSA sets nationwide minimum standards, while Missouri law can provide additional protections. When both laws apply, an employer generally must follow the rule that gives the employee greater protection.
The word “salaried” describes how compensation is calculated; it does not, by itself, determine whether an employee is entitled to overtime. A salaried employee may be exempt from overtime, or may be nonexempt and entitled to overtime pay. The employer must assess the applicable exemption requirements rather than relying on a job title or salary alone.
Salary Does Not Automatically Mean Exempt
For many common white-collar exemptions, an employee must satisfy three tests: a salary-basis test, a minimum salary-level test, and a duties test. Failing any required test can mean the employee remains eligible for overtime, even if paid a fixed salary.
- Salary basis: The employee usually receives a predetermined amount each pay period that is not reduced because of variations in the quality or quantity of work.
- Salary level: The employee’s pay must meet the applicable federal threshold for the exemption being claimed.
- Duties: The employee’s actual primary duties must fit a recognized exemption, such as executive, administrative, or professional work.
These tests are fact-specific. A title such as “manager,” “administrator,” or “professional” does not establish exempt status. An employee’s real responsibilities and compensation practices matter more than the wording on a business card or offer letter.
Federal Salary Threshold and Current Legal Status
Federal salary-threshold rules have changed through rulemaking and litigation. A 2026 U.S. Department of Labor rule scheduled higher thresholds, but a federal court vacated that rule nationwide in November 2026. As a result, the 2019 federal threshold—generally $684 per week, or $35,568 annually—is the relevant baseline for the standard executive, administrative, and professional exemptions unless a later legal or regulatory change applies.
The salary threshold is only one part of the test. Earning more than $684 per week does not automatically make someone exempt; the duties test and salary-basis requirements still apply. Some exemptions, including certain outside-sales, teacher, and practicing-lawyer exemptions, do not use the same standard salary threshold. Because federal rules and court decisions can change, employers should confirm the current rule with the U.S. Department of Labor or qualified counsel.
Missouri Minimum Wage for Salaried Employees
Missouri’s minimum wage applies to covered employees whether they are paid hourly, by commission, or on a salary basis. Under Missouri’s 2026 voter-approved Proposition A, the state minimum wage increased to $13.75 per hour on January 1, 2026, and is scheduled to rise to $15 per hour on January 1, 2026. After that, annual adjustments are tied to inflation under the law.
For a nonexempt salaried employee, the employer must ensure that pay covers at least the applicable minimum wage for all hours worked. A fixed weekly salary does not remove that obligation. The calculation can depend on the employee’s workweek and hours, so employers should track time and review pay records rather than assuming that a salary is sufficient.
Missouri’s minimum wage law includes exemptions for certain categories of employers and workers. Coverage can depend on the employer’s business and the employee’s circumstances. Employers should check the Missouri Department of Labor and Industrial Relations’ current guidance before applying an exemption.
Overtime Rules for Nonexempt Salaried Employees
Covered, nonexempt employees generally must receive overtime pay at no less than one and one-half times their regular rate for hours worked over 40 in a workweek. The workweek is a fixed, recurring period of 168 hours; it does not have to match a calendar week or the employee’s pay period.
A nonexempt employee can be paid a salary covering a set number of hours, or under another lawful arrangement. But the employer must still calculate overtime correctly. The regular rate may include more than base salary: nondiscretionary bonuses, shift differentials, and certain other compensation can affect the calculation. The exact method depends on the pay arrangement and applicable law.
For example, a salaried employee who works 45 hours in a workweek is not automatically owed only the same fixed salary. If the employee is nonexempt, the employer generally must pay the required overtime premium for the five overtime hours, using the employee’s legally determined regular rate.
Employers may not average hours across two workweeks to avoid overtime. Working 45 hours one week and 35 the next does not erase overtime due for the first week. A salary agreement, handbook, or manager’s approval policy cannot waive statutory overtime rights.
Exemptions and Job Duties
Executive exemption
This exemption generally requires that the employee’s primary duty be managing the enterprise or a recognized department, that the employee regularly direct the work of at least two full-time employees or their equivalent, and that the employee have meaningful authority in hiring or firing decisions—or that recommendations on those matters carry particular weight. The salary requirements also generally apply.
Administrative exemption
The administrative exemption generally covers qualifying office or nonmanual work related to management or general business operations. The employee must exercise discretion and independent judgment on significant matters, in addition to meeting the applicable compensation requirements. Routine clerical work does not become exempt simply because it supports an office.
Professional exemption
The learned-professional exemption generally applies to work requiring advanced knowledge in a field of science or learning, usually acquired through specialized education. A separate creative-professional exemption may apply to certain work requiring invention, originality, or talent in a recognized artistic or creative field. Job duties and required qualifications are central to the analysis.
Other exemptions
Other federal exemptions can apply to particular occupations or industries, including some outside-sales employees, certain computer employees, and qualifying highly compensated employees. Each has its own requirements; a high salary alone does not establish every exemption. Employers should review the specific federal regulation and any applicable state rule.
Salary Deductions and Pay Practices
Under the salary-basis test, an exempt employee generally must receive the full salary for any workweek in which the employee performs work, subject to limited exceptions. Permitted deductions can include certain full-day absences for personal reasons or sickness under a bona fide leave plan, full-day disciplinary suspensions for workplace-conduct violations, and certain first or last weeks of employment. The rules contain details that can affect whether a deduction is lawful.
Improper deductions from an exempt employee’s salary can put the exemption at risk, particularly when the employer has an actual practice of making improper deductions. A written policy prohibiting unauthorized deductions and a process for reimbursing improper ones can help, but policies do not replace compliance.
For nonexempt salaried employees, deductions must also comply with minimum-wage and overtime rules. Employers cannot make deductions for business expenses, cash shortages, or property damage in a way that cuts pay below required minimum wage or overtime. Missouri law and federal rules may both affect what deductions are allowed.
Timekeeping, Breaks, and Meal Periods
Employers must keep accurate records for nonexempt employees, including hours worked and wages paid. A salary does not excuse an employer from tracking hours when the employee is nonexempt. Employees should record all time worked, including required training, work-related tasks before or after a shift, and work performed remotely when the employer knows or has reason to know it is happening.
Federal law does not generally require employers to provide meal or rest breaks to adult employees. If short breaks are offered—typically those lasting 5 to 20 minutes—they generally count as paid work time. A bona fide meal period, commonly 30 minutes or longer, may be unpaid when the employee is completely relieved of duties. Missouri does not generally require private employers to provide adult employees with meal or rest breaks, though policies, contracts, or special rules may apply.
Paydays and Final Pay in Missouri
Missouri wage-payment laws set requirements for when employees must be paid and when wages are due after employment ends. In general, an employee who is discharged must be paid wages due under Missouri law, and specific timing rules can depend on the circumstances. Final pay should include all earned wages required by law, including any overtime owed to a nonexempt employee.
Unused vacation or paid-time-off balances are not automatically payable in every situation. Whether they must be paid depends on the employer’s policy, agreement, and applicable law. Employees can review written policies and pay statements, while employers should apply their policies consistently and clearly explain how accrued leave is treated at separation.
Paid Sick Leave and Recent Missouri Changes
Missouri voters approved Proposition A in 2026, which included a paid-sick-leave requirement scheduled to take effect May 1, 2026. The Missouri General Assembly later enacted legislation repealing that requirement, effective August 28, 2026. Accordingly, the state mandate should not be treated as a continuing statewide entitlement after its repeal takes effect. Local policies, employment agreements, and other laws may still provide paid leave.
Because statutory changes can be amended or challenged, employees and employers should verify current requirements through official Missouri sources. A company’s paid-leave policy may provide more generous benefits than the state minimum, and employers generally must follow their own applicable written commitments.
What Employees Can Do About a Wage Concern
An employee who suspects unpaid overtime, minimum-wage violations, or improper deductions can start by reviewing pay stubs, work schedules, time records, and the employer’s written policies. Keeping a personal record of hours worked and relevant communications can help clarify the issue. Employees may raise the concern with payroll or human resources, although internal reporting is not required before contacting an enforcement agency.
Missouri wage complaints can be directed to the Missouri Department of Labor and Industrial Relations. Federal wage complaints can be filed with the U.S. Department of Labor’s Wage and Hour Division. Employees may also consult an employment attorney, particularly when substantial unpaid wages, retaliation, or a disputed exemption is involved.
Practical Compliance Checklist for Employers
- Classify employees based on actual duties and applicable legal tests, not job titles.
- Confirm that exempt employees meet the relevant salary-basis, salary-level, and duties requirements.
- Track hours for nonexempt salaried employees and pay overtime for hours over 40 in each workweek.
- Review bonuses, commissions, and other compensation when calculating the regular rate.
- Check Missouri’s current minimum wage and applicable coverage exemptions.
- Use written pay and leave policies, and apply them consistently.
- Reassess classifications when duties, compensation, or federal and state rules change.
Reliable Sources for Missouri Wage Rules
For current requirements, consult the Missouri Department of Labor and Industrial Relations, including its Division of Labor Standards and minimum-wage materials. Federal guidance is available from the U.S. Department of Labor Wage and Hour Division. The federal overtime regulations appear in 29 C.F.R. Part 541, and Missouri statutes are available through the Missouri Revisor of Statutes.