Exempt Status Evaluator (CA)

This tool uses California rates that are in effect as of July 1, 2026.

Although the California Chamber of Commerce has made every effort to ensure that the Exempt Status Evaluator is complete and accurate in its analysis, the use of this automated tool does not imply or guarantee that the analysis of the position as exempt or nonexempt will be recognized as accurate by the Division of Labor Standards Enforcement.

If you have not yet created a job description for this position, it is highly recommended that you download CalChamber's job description form and make clear the position's duties and responsibilities before you continue with the Exempt Status Evaluator.

Before you begin, there are a few issues that you should be aware of:

• The meaning of "exempt"... Due to the nature of their work, some employees are classified by the state and federal governments as being exempt from overtime requirements. This means that you, as an employer, are not required to give them overtime pay, as you are required to do so for nonexempt employees. State and federal law differ in several ways, and where there are discrepancies between state and federal standards, you must meet the standard that is most favorable to the employee. Refer to the Exempt/Nonexempt content area to find more information on this issue.
• The position's job title alone does not qualify a position as exempt... Just because you call a person a manager does not mean that she is exempt from overtime requirements. It is necessary to analyze an employee's duties and level of responsibility to determine whether or not a position is exempt.
• Salaried positions are not automatically exempt... A position's exempt status depends on (1) the duties associated with it, and (2) being paid on a salary basis that meets minimum salary requirements. In addition, under very limited circumstances, certain doctors, high level computer professionals and commissioned sales persons may be paid an hourly wage and still be exempt from overtime.
• Compensation requirements do change... The minimum salary requirement and minimum earnings for commission-paid salespersons is based on the California minimum wage, which can change from time to time. If the state minimum wage changes, you should rerun this tool to assure continued compliance. Also the hourly rate for doctors and computer professionals are adjusted on an annual basis, requiring that you rerun this tool annually for those positions. Finally, you should rerun this tool if federal compensation requirements change to a level that exceeds the California standards.