Hours Worked Under the Fair Labor Standards Act (FLSA)
February 23, 2023
Hours Worked Under the Fair Labor Standards Act (FLSA)

This article provides general information concerning what constitutes compensable time under the FLSA. The Act requires that employees must receive at least the minimum wage and may not be employed for more than 40 hours in a week without receiving at least one and one-half times their regular rates of pay for the overtime hours. The amount employees should receive cannot be determined without knowing the number of hours worked.


Definition of "Employ"

By statutory definition the term "employ" includes "to suffer or permit to work." The workweek ordinarily includes all time during which an employee is necessarily required to be on the employer's premises, on duty or at a prescribed work place. "Workday", in general, means the period between the time on any particular day when such employee commences his/her "principal activity" and the time on that day at which he/she ceases such principal activity or activities. The workday may therefore be longer than the employee's scheduled shift, hours, tour of duty, or production line time.


Application of Principles

Employees "Suffered or Permitted" to work: Work not requested but suffered or permitted to be performed is work time that must be paid for by the employer. For example, an employee may voluntarily continue to work at the end of the shift to finish an assigned task or to correct errors. The reason is immaterial. The hours are work time and are compensable.


Waiting Time:

Whether waiting time is hours worked under the Act depends upon the particular circumstances. Generally, the facts may show that the employee was engaged to wait (which is work time) or the facts may show that the employee was waiting to be engaged (which is not work time). For example, a secretary who reads a book while waiting for dictation or a fireman who plays checkers while waiting for an alarm is working during such periods of inactivity. These employees have been "engaged to wait."


On-Call Time:

An employee who is required to remain on call on the employer's premises is working while "on call." An employee who is required to remain on call at home, or who is allowed to leave a message where he/she can be reached, is not working (in most cases) while on call. Additional constraints on the employee's freedom could require this time to be compensated.


Rest and Meal Periods:

Rest periods of short duration, usually 20 minutes or less, are common in industry (and promote the efficiency of the employee) and are customarily paid for as working time. These short periods must be counted as hours worked. Unauthorized extensions of authorized work breaks need not be counted as hours worked when the employer has expressly and unambiguously communicated to the employee that the authorized break may only last for a specific length of time, that any extension of the break is contrary to the employer's rules, and any extension of the break will be punished. Bona fide meal periods (typically 30 minutes or more) generally need not be compensated as work time. The employee must be completely relieved from duty for the purpose of eating regular meals. The employee is not relieved if he/she is required to perform any duties, whether active or inactive, while eating.


Sleeping Time and Certain Other Activities:

An employee who is required to be on duty for less than 24 hours is working even though he/she is permitted to sleep or engage in other personal activities when not busy. An employee required to be on duty for 24 hours or more may agree with the employer to exclude from hours worked bona fide regularly scheduled sleeping periods of not more than 8 hours, provided adequate sleeping facilities are furnished by the employer and the employee can usually enjoy an uninterrupted night's sleep. No reduction is permitted unless at least 5 hours of sleep is taken.


Lectures, Meetings and Training Programs:

Attendance at lectures, meetings, training programs and similar activities need not be counted as working time only if four criteria are met, namely: it is outside normal hours, it is voluntary, not job related, and no other work is concurrently performed.


Travel Time:

The principles which apply in determining whether time spent in travel is compensable time depends upon the kind of travel involved.


Home to Work Travel:

An employee who travels from home before the regular workday and returns to his/her home at the end of the workday is engaged in ordinary home to work travel, which is not work time.


Home to Work on a Special One Day Assignment in Another City:

An employee who regularly works at a fixed location in one city is given a special one day assignment in another city and returns home the same day. The time spent in traveling to and returning from the other city is work time, except that the employer may deduct/not count that time the employee would normally spend commuting to the regular work site.


Travel That is All in a Day's Work:

Time spent by an employee in travel as part of their principal activity, such as travel from job site to job site during the workday, is work time and must be counted as hours worked.


Travel Away from Home Community:

Travel that keeps an employee away from home overnight is travel away from home. Travel away from home is clearly work time when it cuts across the employee's workday. The time is not only hours worked on regular working days during normal working hours but also during corresponding hours on nonworking days. As an enforcement policy the Division will not consider as work time that time spent in travel away from home outside of regular working hours as a passenger on an airplane, train, boat, bus, or automobile.


Typical Problems:

Problems arise when employers fail to recognize and count certain hours worked as compensable hours. For example, an employee who remains at his/her desk while eating lunch and regularly answers the telephone and refers callers is working. This time must be counted and paid as compensable hours worked because the employee has not been completely relieved from duty.


Where to Obtain Additional Information:

For additional information, visit our Wage and Hour Division Website: http://www.dol.gov/agencies/whd and/or call our toll-free information and helpline, available 8 a.m. to 5 p.m. in your time zone, 1-866-4USWAGE (1-866-487-9243).


This publication is for general information and is not to be considered in the same light as official statements of position contained in the regulations.


The contents of this document do not have the force and effect of law and are not meant to bind the public in any way. This document is intended only to provide clarity to the public regarding existing requirements under the law or agency policies.

Sign up for our newsletter.

April 27, 2026
Living in the Finger Lakes, especially throughout Canandaigua and Ontario County, offers a quality of life that is hard to match. The lakes, the landscape, and the changing seasons are part of what makes this area special. Those same characteristics, however, also create very specific risks to your home and property. Many of these risks are not fully understood until a loss occurs. This overview is meant to help bring clarity before that happens. Heavy Rain and Flooding: A Common Misunderstanding Spring in our region often brings a combination of heavy rainfall and saturated ground, sometimes alongside lingering snowmelt. When the ground can no longer absorb water, it finds its way into basements and lower levels. What many homeowners do not realize: • Standard homeowners insurance does not cover flood damage • Sewer or drain backup coverage is not automatically included • Even minor water intrusion can result in significant repair costs Flooding remains one of the most common and misunderstood gaps in coverage. Summer Storms and Wind Damage Severe weather events have become more frequent and more intense in recent years. Across the Finger Lakes, we regularly see: • Trees falling onto homes or structures • Roof and siding damage from high winds • Power surges impacting appliances and electronics While many of these losses are typically covered, there are important considerations: • Tree removal coverage is often limited • Poorly maintained trees can create complications in claims • Deductibles may be higher than expected, especially for wind-related losses Tornado Activity in Upstate New York Tornadoes are not something most people associate with our region, but they do happen in upstate New York. They are often smaller in scale, but still strong enough to damage roofs, garages, sheds, outbuildings, and surrounding property. In many cases, tornado-related damage is covered under a standard homeowners policy. The bigger concern is whether homeowners have reviewed their limits, deductibles, and property details before a loss occurs. Hail Damage: Often Overlooked Hail damage does not always present itself immediately. Over time, it can: • Compromise roofing materials • Reduce the lifespan of your roof • Lead to leaks or structural issues later on An important detail many homeowners are unaware of: some policies now settle roof claims based on actual cash value rather than full replacement cost, which can significantly reduce claim payouts. Lakefront and Hillside Exposures The natural features that define the Finger Lakes also introduce unique risks: • Shoreline erosion • Slope instability • Ground shifting following heavy rain It is important to understand: • Land itself is not insurable • Earth movement, including landslides, is typically excluded These are among the most significant uncovered exposures in our area. Lightning and Power Surges A single storm can damage electronics, appliances, and home office equipment. While coverage may apply, it is often subject to policy limits, deductibles, and specific conditions. If you work from home or rely on expensive electronics, it is worth reviewing how your policy handles power surge damage before you need to file a claim. What Homeowners Often Learn Too Late After working through claims with families across the region, a consistent pattern emerges: “I thought that was covered.” “No one explained that to me.” “I wish I had reviewed this sooner.” Insurance is not just about having a policy in place. It is about understanding how that policy responds in real-world situations. A Local Approach to Reviewing Your Coverage As part of the Finger Lakes community, we believe homeowners should have a clear understanding of their coverage before they need to rely on it. We offer straightforward, no-pressure coverage reviews that include: • A clear explanation of your current policy • Identification of potential gaps based on local risks • Honest answers to your questions • Guidance on whether any adjustments make sense for your situation Looking Ahead Seasonal weather in the Finger Lakes is predictable in one sense: it will come. The better question is whether your coverage reflects the realities of where you live. Taking the time to review now can help ensure you are prepared when it matters most.
April 9, 2026
April is Financial Literacy Month, and most of the conversation tends to focus on individuals. Budgeting, saving, managing debt, planning for retirement. All important topics, but often framed as personal responsibilities. What gets overlooked is how much of an employee’s financial life is shaped at work. From how pay is structured, to how benefits are communicated, to whether retirement options are understood or even used, employers have a direct influence on how confident and informed employees feel about their finances. It is not always intentional, but it is significant. Where Financial Literacy Shows Up at Work For many employees, the workplace is the primary place where financial decisions are made or reinforced. Think about what flows through an employer: Paychecks and how they are calculated Tax withholdings and deductions Health insurance contributions Retirement plan participation and employer match Bonuses, commissions, and variable compensation These are not small details. They are the building blocks of how employees understand their income, manage expenses, and plan for the future. When those elements are clear and easy to navigate, employees tend to feel more in control. When they are confusing or inconsistent, it can lead to frustration, disengagement, or avoidable financial stress. The Reality: Many Employees Are Still Guessing Even in well-run organizations, it is common for employees to have gaps in understanding. Questions like: “Why did my paycheck change this period?” “What exactly is being deducted from my pay?” “Am I contributing enough to my 401(k)?” “How does my health plan actually impact my out-of-pocket costs?” These are not uncommon, and they are not always asked out loud. When employees are unsure, they often make assumptions or avoid decisions altogether. That might mean underutilizing benefits, delaying retirement contributions, or feeling less confident about their financial situation overall. Why This Matters More Than It Seems Financial literacy is not just a personal issue. It has a direct impact on the workplace, and employees who feel financially uncertain are more likely to: Experience stress that carries into the workday Be distracted or less engaged Delay important decisions like retirement planning Ask more reactive questions that take time to address On the other hand, when employees understand how their pay and benefits work, there is a noticeable shift. Communication becomes easier. Trust increases. Fewer issues escalate into larger problems. It is not about expecting employees to become financial experts. It is about creating an environment where information is clear and decisions feel manageable. Where Employers Have the Most Influence Employers do not need to overhaul their entire approach to make an impact. In many cases, financial clarity improves when existing processes are just a little more intentional. A few areas tend to have the biggest influence: Payroll Transparency Pay statements should be easy to read and consistent. Employees should be able to quickly understand their gross pay, deductions, and net pay without needing to ask for clarification every time something changes. Even small improvements in how payroll information is presented can reduce confusion. Benefits Communication Open Enrollment is not the only time benefits need explanation. Employees often need reminders and context throughout the year. Clear explanations around what plans cover, how contributions work, and how to use benefits in real scenarios can make a meaningful difference. Retirement Plan Engagement Offering a retirement plan is one thing. Helping employees understand how to use it is another. Employers who provide basic education around contribution levels, employer match, and long-term impact tend to see stronger participation and better outcomes. Consistency Across Systems When payroll, benefits, and HR systems do not align, employees feel it. Conflicting information or multiple places to find answers creates friction. Even if the underlying services are strong, the experience can feel disjointed if everything is not connected. Financial Literacy as a Workplace Advantage Financial Literacy Month is a good reminder that supporting employees in this area is not just a benefit. It is part of how a business operates. Employers who prioritize clarity tend to see:  Fewer payroll and benefits questions More confident employees Better utilization of offered benefits Stronger overall engagement It does not require a complete redesign. Often, it is the result of tightening communication, simplifying access to information, and making sure systems are working together. At Simco, this is something we see regularly. When payroll, HR, benefits, and retirement services are aligned, it becomes much easier for employers to provide a clear and consistent experience without adding more administrative burden. A Few Practical Steps to Start With If Financial Literacy Month is a prompt to take action, it does not need to be complicated. A few focused steps can go a long way: Review a sample of employee pay statements and ask if they are easy to understand at a glance Look at how benefits information is shared outside of Open Enrollment and where there may be gaps Check that retirement plan details, including employer match, are clearly communicated and easy to access Identify whether employees have one clear place to go for payroll, benefits, and HR information Ask managers or HR team members what questions they are hearing most often from employees These are simple starting points, but they often reveal where clarity can be improved. Looking Ahead Financial literacy does not need to be a separate initiative. It is already built into the way employers manage pay, benefits, and communication. April is a good reminder to take a closer look at how those pieces are working together. When employees understand their finances at work, they are more confident, more engaged, and better positioned to make informed decisions. That benefits both the individual and the organization over time.
March 10, 2026
By early spring, most organizations have settled into the rhythm of the new year. Payroll cycles are running, benefits elections have taken effect, and hiring plans are starting to move forward. It is also around this time that small administrative issues tend to surface. A deduction that was entered incorrectly. A PTO balance that does not quite look right. A job description that no longer reflects what someone actually does day to day. None of these problems usually start out as major concerns. But when they go unnoticed for months, they can create compliance risks, payroll corrections, or frustrating employee experiences later in the year. Taking a little time now to review a few core HR and payroll areas can help catch issues early and keep your systems running the way they should. 1. Payroll Deductions and Employee Pay Accuracy Payroll errors rarely happen because someone intentionally entered the wrong information. More often they occur because small changes throughout the year were not reflected consistently across systems. Spring is a good time to review payroll deductions line by line and make sure everything matches current elections and agreements. Start by checking: Health, dental, and vision deductions against current benefit elections Retirement contributions and employer match calculations Garnishments or wage attachments that may have started or ended Bonus or commission structures tied to payroll calculations It is also worth confirming that salary adjustments made at the start of the year were properly applied across payroll and HR records. A mismatch between HR systems and payroll can create issues that compound over time. Run a payroll audit report if your system allows it. Compare gross wages, deductions, and net pay for a sampling of employees across departments. Look for unusual fluctuations or rounding inconsistencies. Even one small discrepancy can create confusion for employees and require retroactive corrections later. 2. PTO Balances and Accrual Policies Paid time off policies can quietly become inconsistent if they are not reviewed periodically. Accrual rules may have changed, new hires may have different policies than long-tenured employees, and carryover limits can easily be overlooked. Take time this spring to verify that PTO balances reflect the rules outlined in your employee handbook. Focus on questions such as: Are accrual rates being applied correctly based on tenure? Are carryover limits being enforced as expected? Have any manual adjustments been made that need documentation? Do employees clearly understand how their PTO accumulates and resets? This review also helps identify employees who may have unusually high PTO balances. Addressing those early can help avoid operational challenges later in the year when many employees begin using vacation time. 3. Employee Classification and Job Roles Misclassification remains one of the most common compliance risks employers face. Over time, job responsibilities evolve, and a position that once qualified for a particular classification may no longer meet the criteria. Use this time to review whether employees are properly classified as exempt or non-exempt under wage and hour laws. Look closely at: Employees who received promotions or expanded responsibilities Positions that involve supervisory duties Roles that combine administrative and operational tasks Job descriptions should accurately reflect what employees actually do day to day. If responsibilities have shifted significantly, the classification may need to be reevaluated. Clear documentation is important here. Updated job descriptions help support classification decisions and provide clarity for both employees and managers. 4. Employee Handbook and Workplace Policies Policies that felt current a year ago may now need adjustments. Workplace expectations evolve quickly, and spring is a practical time to review whether your handbook reflects the way your organization actually operates. Pay particular attention to policies related to: Remote or hybrid work expectations Use of artificial intelligence tools in the workplace Timekeeping and attendance procedures Workplace conduct and communication standards It is also wise to confirm that any state-specific policies remain compliant with current regulations. If your workforce spans multiple states, small policy differences may need to be addressed. Updating a handbook does not necessarily mean rewriting the entire document. Sometimes a few targeted revisions can ensure employees have clear guidance and leadership has consistent standards to follow. 5. Benefits Eligibility and Employee Status Changes Benefits eligibility errors can happen when employee status changes are not updated in a timely manner. Review employees who experienced changes during the past several months. This includes individuals who moved from part-time to full-time status, those who returned from leave, and employees who changed departments or compensation structures. Make sure eligibility for benefits matches the organization’s plan requirements. Check that: Newly eligible employees were offered enrollment opportunities Terminated employees were removed from benefit plans promptly COBRA notifications were issued when required Dependent eligibility rules are being followed consistently Even minor oversights in this area can create complications with carriers or leave employees temporarily without the coverage they expect. 6. Workers’ Compensation Classifications Workers’ compensation classifications often remain unchanged year after year, even when job duties evolve. If employees begin performing different tasks than originally described, their classification may no longer match the level of risk associated with the role. Incorrect classifications can lead to inaccurate premium calculations and potential audit findings later. Take time to review job roles that involve: Operational or physical work environments Field service or travel responsibilities Equipment use or safety considerations Confirm that the workers’ compensation codes associated with these positions still reflect the work being performed. Employers who review this annually are often better prepared when insurance audits occur. 7. HR and Payroll System Alignment Finally, look at how your HR and payroll systems interact with each other . Many organizations rely on multiple platforms for HR, payroll, benefits administration, and reporting. When systems do not communicate effectively, teams often compensate by manually transferring data between them. That can create hidden inefficiencies and increase the chance of errors. Ask yourself: Are employee records consistent across all systems? Are onboarding updates automatically reflected in payroll and benefits platforms? Are reporting tools pulling accurate workforce data? For some employers, this review reveals that processes have become more manual than intended. Working with a partner that integrates HR, payroll, benefits, and insurance services can make much of this coordination significantly easier. At Simco , we help employers align these systems so information flows more smoothly and administrative teams spend less time reconciling data. A Small Review Now Prevents Bigger Issues Later Spring reviews do not have to be complicated or time-consuming. Even a few focused hours reviewing payroll accuracy, employee classifications, and benefits records can uncover issues that are much easier to fix now than later in the year. Employers who take time to review these areas early often avoid the mid-year scramble that happens when small inconsistencies finally surface. A short operational check-in today can help ensure the rest of the year runs more smoothly for both your leadership team and your employees.

Have a question? Get in touch.