Who Is Exempt from Overtime Pay in Texas?

Who Is Exempt from Overtime Pay in Texas?

While many hourly employees in Texas are entitled to overtime pay, not everyone qualifies. Under the Fair Labor Standards Act (FLSA), some workers are considered “exempt”—meaning they are not legally required to receive overtime, even if they work more than 40 hours in a week.

Let’s break down who falls into this category.

Salaried Exempt Employees

The most common group exempt from overtime pay in Texas are salaried workers who meet specific criteria. To be classified as exempt, an employee must:

  • Earn at least $684 per week (as of 2025)

  • Be paid on a salary basis (not hourly)

  • Perform certain executive, administrative, or professional duties

This includes managers, department heads, accountants, and other white-collar professionals. If you meet all three tests, your employer is not required to pay you overtime.

Independent Contractors

Independent contractors are not considered employees under federal labor laws. That means they are not entitled to overtime pay, regardless of how many hours they work.

Contractors are typically self-employed, invoice for their services, and control how and when they work. If you’re issued a 1099 instead of a W-2, you’re likely in this category.

Industry-Specific Exemptions

Some industries in Texas and across the U.S. have special rules under the FLSA. Common examples of exempt workers include:

  • Certain agriculture workers

  • Live-in domestic workers or nannies

  • Employees in transportation, like truck drivers covered by DOT regulations

  • Some seasonal and recreational workers (e.g., amusement parks or summer camps)

These exemptions are often tied to the nature of the work and how it’s regulated at the federal or state level.

Final Thoughts

Not every employee in Texas qualifies for overtime pay. Salaried exempt workers, independent contractors, and certain industry-specific roles may fall outside the protections of FLSA rules.

If you’re unsure whether you should be receiving overtime, it’s a good idea to review your job duties and consult a labor law expert or the U.S. Department of Labor for guidance.

George Dimov