The guide
Everything you need to know about the FLSA (fair labor standards act) compliance checklist
What Is the FLSA Compliance Checklist?
The Fair Labor Standards Act sets federal rules on minimum wage, overtime pay, recordkeeping, and youth employment in the United States. This checklist helps employers verify correct worker classification as exempt or non-exempt, accurate overtime at one and one-half times the regular rate past 40 hours, proper minimum wage payment, and complete time and pay records. It is the foundation for lawful wage-and-hour practices.
Why Use an FLSA Compliance Checklist
Misclassifying employees as exempt or failing to pay overtime is one of the most common and costly wage-and-hour mistakes, often leading to back pay, liquidated damages, and class actions. This checklist forces a deliberate review of each role against the salary and duties tests, confirms overtime and minimum wage calculations, and ensures records meet federal retention rules, sharply reducing audit and litigation risk.
How to Use This FLSA Compliance Checklist
Review each position against the FLSA exemption criteria, checking both the salary threshold and the actual duties performed. For non-exempt staff, confirm all hours worked are captured and overtime is paid correctly. Verify pay meets the higher of federal or state minimum wage, and that required records are retained for the mandated period. Document each determination and revisit whenever roles or thresholds change.
