Job duties, not job titles, decide whether an employee is exempt from overtime.
The executive, administrative and professional exemptions each have a duties test, and an employee must meet the salary tests and the duties test together.
The basics for employers.
A plain-English summary. This is general information, not legal advice, and the rules change, so check the current text.
Executive
The primary duty is managing the business or a department, the employee directs at least two full-time employees, and has real input on hiring, firing or promotion (29 CFR 541.100).
Administrative
The primary duty is office or non-manual work related to management or general business operations, and it includes discretion and independent judgment on significant matters (29 CFR 541.200).
Professional
The primary duty requires advanced knowledge in a field of science or learning, or invention, imagination or talent in a recognized field of artistic endeavor (29 CFR 541.300).
How it plays out.
Primary duty means the principal, main or most important duty, and the amount of time spent is one factor but not the only one. A manager who spends most of the day on non-exempt tasks may still be exempt if management is the most important part of the job.
Lead workers, team leads and specialists with a manager title are often misclassified. The test looks at authority and discretion, such as who makes decisions and whose recommendations carry weight.
Job descriptions help only when they match the work. A description that was written to support an exemption and does not match the day-to-day job gives little protection in an audit.
Where this shows up in your plan.
Classification flows into the benefit class. Exempt and nonexempt employees may be in different eligibility or contribution classes, so a reclassification triggers a plan review.
Employees who move from exempt to nonexempt need clear communication about how hours are counted for eligibility under the plan, especially if the plan uses an hours-based rule.
Keep the duties analysis with the benefit class record. If a classification is challenged, both questions come up at once.
Setting it up.
Write the Duties Down. Document the actual primary duty and who makes which decisions.
Review Titles. Check roles with manager or lead in the title against the test.
Audit Yearly. Recheck classifications when jobs change.
Align the Plan. Confirm eligibility classes match the classification.
Mistakes to avoid.
Relying on the Title. A title does not create an exemption.
Copying Old Descriptions. Descriptions must match the real work.
Skipping the Salary Tests. The duties test is one of three tests.
Laws and Rules Referenced
Executive exemption, 29 CFR 541.100 — The executive duties test.
Administrative exemption, 29 CFR 541.200 — The administrative duties test.
Professional exemption, 29 CFR 541.300 — The professional duties test.
Quick answers.
Short answers to what employers ask most. This is general information, not legal or tax advice.
What does primary duty mean?
The principal, main or most important duty the employee performs.
Can a manager title make someone exempt?
No. Duties decide the exemption.
Do exempt employees need to meet a salary test too?
Yes, the salary level and the salary basis tests apply.
Who decides classification?
The employer, with advice from counsel, since the employer bears the risk.
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