As of January 1, 2020, Maine’s minimum wage increases from $11 to $12 per hour. That means the state minimum salary for exemption from overtime eligibility increase from $33,000 to $36,000 per year. This translates to a minimum salary of $692.31 per week. This is the amount employees in Maine must be paid to meet the salary basis test for an exempt employee.
Also as of January 1, 2020, the new federal rules on overtime eligibility become effective. The minimum salary for exemption from overtime eligibility rises from $23,660 to $35,568 per year. This translates to a minimum salary of $684 per week.
Maine’s salary threshold for exemption from overtime eligibility will be higher than the federal level after January 1, 2020. For an employee in Maine to be exempt, they must be paid at least the higher state rate of $36,000 per year. Remember that the position still needs to meet the job duties test for the employee’s exemption.
Rudman Winchell
207-947-4501