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Wages and How They Work

Some people are paid hourly, others are given a salary and then there are those who work on commission. There are tons of different state laws that tell you how much people are going to be paid along with the time that they should be paid at. These regulations also include how some jobs that make use of overtime or dangerous work should pay more. There are tons of different aspects of wages.

Hazardous Work Act

The Act that dictates hazardous work and child labor requires that employers pay the federal minimum wage. On top of that they should compensate 1 and half times the regular pay rate for any work done overtime. It also contains regulations about what jobs minors can do along with the amount of hours they can work. Children who are younger than 16 are not allowed to do any sort of work that may be considered dangerous to health or safety. Some of the ‘hazardous’ jobs described are:

  • When you work around explosives.
  • Work with equipment that is power driven and when operated an accident can cause injuries.
  • Sawmill work
  • Logging work
  • Work that involves radioactive materials
  • Demolition related jobs
  • Too high height related jobs

Also the federal law requires that you pay your workers for sick leave as well.

As long as an employee is 16 years old, the employer can ask him or her to work any hours of time they need. But overtime needs to be paid. However workers who receive a salary and work overtime do not get this compensation. The overtime rules are a little bit different for fire fighter s and police officers.

Wage Garnishment

When the court orders a wage garnishment an employer can withhold cash from their workers paycheck so that they can withhold pay for alimony or child support. Only half of a person’s disposable earnings can be withheld so that they can pay up for alimony or child support.

Commission is defined as the money given to a person after they have successfully done a task. This is usually selling a commodity. A salesperson can earn a commission based on the percentage of the sales they made. An insurance agent can make commission based on the quantity of commission they sell.

If you are self employed and planning on hiring soon, a good idea would be to look up and get in touch with a reputable cpa in South Orlando and discuss your situation with them as well as gain advice.

If you need more information about our accounting and tax services, please contact us at 407-344-1012. Freedomtax Accounting’s staff has been providing honest accounting services and tax services for 15 years. Our Orlando accounting and tax firm has its main offices in Kissimmee, FL. Our services are provided nationwide, but mainly in the Central Florida market to areas like Orlando, South Orlando, Kissimmee, St. Cloud, Poinciana, Clermont, Davenport, Hunters Creek, Lake Nona, Celebration, Winter Park, Windermere, Dr. Phillips, Maitland, Altamonte Springs, Winter Garden, Ocoee, Apopka, Belle Isle, Edgewood, and Oakland FL. Our tax accountants and IRS enrolled agents (irs ea) specialize in corporate accounting and bookkeeping, tax services, tax preparation, back taxes help, tax debt relief, tax resolution, tax planning, itin number, incorporations, and non profit 501c3 tax exempt. (Freedomtax’s accounting and tax experts are NOT CPA’s. CPA services provided by third party provider.)


Robert AcevedoWages and How They Work