New Overtime Regulations to Potentially Impact Thousands of Nonprofit Employees

May 18, 2016

At the direction of President Obama, the U.S. Department of Labor has just announced its highly anticipated update to the federal overtime regulations.

With no specific exemption for nonprofits that employ millions of Americans, the new rules will have a significant impact on the finances and human resources of churches and ministries throughout the United States.

In a major shift, all workers earning less than $47,476 per year ($913/week) will now generally be eligible for overtime pay—just over double the current threshold.

The revised rules become effective December 1, 2016, leaving only a few months for organizations to come into compliance. Now is the time for employers to consider important issues that may be impacted such as:

  • Staffing budgets
  • Work schedules
  • Job responsibilities and position descriptions
  • Employee handbooks

With the full regulations spanning over 500 pages, churches and ministries may be interested in the Department of Labor’s summary Overtime Final Rules and the Non-Profit Sector.


Also don’t miss ECFA’s special webinar on June 23 (1 pm, EST) – “The Impact of New Overtime Regulations on Churches and Ministries.”

During this informative 1-hour session, attorneys Susan Campbell and Sally Wagenaker will

  • Review the changes the Department of Labor is making in new overtime regulations
  • Recognize the likely impacts of the regulation changes
  • Discover possible steps organizations can implement to mitigate the impact of the new regulations

This text is provided with the understanding that ECFA is not rendering legal, accounting, or other professional advice or service. Professional advice on specific issues should be sought from an accountant, lawyer, or other professional.

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