New Hampshire Overtime Law 2026
The state of New Hampshire continues to align its overtime law with the federal Fair Labor Standards Act (FLSA), with a few state-specific nuances. One such provision is a tax deduction on earned overtime wages, giving the working class additional financial relief. :
However, a federal court ruling from late 2024 blocked the planned increase to the salary threshold for overtime exemptions, which impacts both employers and employees nationwide.
Thus, making it important for both employers and employees to know about the state’s overtime laws to ensure fair pay, maintain compliance with both state and federal rules, and avoid potential penalties or disputes.
The table below shows key updates impacting overtime and wages in New Hampshire in 2026:
| Update Area | 2026 Changes & Details |
| Minimum Wage | The state minimum wage remains $7.25/hour, aligning with the federal standard. |
| Overtime Salary Exemption | A federal court blocked the planned 2026 salary threshold increase. The threshold for most exempt employees remains $684/week ($35,568/year). |
| State Legislation | Effective January 1, 2026, a new law allows employees to claim a state tax deduction of up to $12,500 ($25,000 for joint filers) on overtime wages earned. |
| State Law Compliance | New Hampshire law requires overtime for hours worked over 40 in a workweek, consistent with the FLSA. |
Overview of New Hampshire Overtime Laws 2026
Aligning with federal FLSA, New Hampshire law mandates all companies to pay overtime wages to non-exempt employees at a rate of 1.5 times their regular wage rate for all hours worked beyond the standard 40 hours per week. Additionally, the state does not require employers to pay daily overtime wages. They must calculate wages based on the federal 40-hour weekly threshold.
Summary:
- Overtime rate: 1.5X the employee’s regular hourly rate.
- Weekly overtime: Applies after 40 hours in a workweek.
- Daily overtime: No state requirement for daily overtime; overtime is calculated weekly.
- Exemptions: Executive, administrative, professional, outside sales, and certain computer employees are exempt under FLSA standards.
- Recordkeeping: Employers must maintain accurate records of hours worked, wages paid, and overtime calculations.
Eligibility for Overtime in New Hampshire
The state of New Hampshire defines employee eligibility for overtime pay based on the FLSA classification: exempt and non-exempt
- Non-exempt: Individuals who either receive hourly wages, are paid per piece, or earn a salary that’s less than the state/federal threshold. They are eligible to receive overtime wages for each hour they work over 40 in a workweek.
- Exempt Employees: Individuals who meet both a salary and duties test and earn a fixed salary of at least $684 per week. They must also perform duties that are primarily executive, administrative, or professional in nature.
The exemption category also includes highly compensated individuals who earn more than $107,432 per annum, certain types of agricultural workers, and those working in seasonal set-ups.
Federal vs. New Hampshire Overtime Rules
Although New Hampshire largely follows the federal FLSA, the only difference between federal and state rules is the tax deduction for overtime earnings. The table below illustrates the difference.
| Aspect | Federal (FLSA) | New Hampshire Law (2026) |
| Weekly Overtime | 1.5x after 40 hours/week | Same as federal |
| Daily Overtime | No | No |
| Salary Exemption | $684/week ($35,568/year) | Mirrors federal |
| Minimum Wage | $7.25/hour | $7.25/hour |
| Overtime Tax | Fully taxed | Deductible up to $12,500 annually |
Exemptions in New Hampshire
New Hampshire adopts the federal FLSA list and definitions for classifying individuals as exempt. Exemptions are as follows:
- Executive Employees: Individuals who primarily manage a business, handle one or more departments, provide guidance to at least two other employees, and can hire/fire employees.
- Administrative Employees: Individuals whose primary responsibilities must be office or non-manual work that directly relates to business operations and demands the use of discretion and independent judgment.
- Professional Employees: Individuals whose work requires advanced knowledge in a specialized field such as science, innovation, medicine, law, etc., or is creative in nature.
- Highly Compensated Employees: Individuals who earn more than or equal to $107,432 per annum.
- Agricultural and Seasonal Laborers:
- Farm laborers
- People working at seasonal setups, such as amusement parks and recreational establishments, that operate for less than seven months in a calendar year.
Employer Obligations and Employee Rights
The state of New Hampshire mandates all employers to comply with state and federal laws to ensure fair pay as well as employee rights protection.
- Timely Payment: Regularly pay all wages, including overtime wages, on established paydays.
- Recordkeeping: Maintain accurate employee (non-exempt) records of hours worked and wages paid.
- Workplace Protections: Ensure a safe working environment and comply with all applicable anti-discrimination laws.
- Penalties: Violation of state/federal rules can result in back pay, liquidated damages, and legal fees.
Got questions?
No. The state does not have rules mandating employers to provide daily overtime pay.
Yes. In New Hampshire, typically, “white-collar” workers are put in the exempt category. These include executives, administrators, professionals, and highly compensated employees. The state also has specific exemptions for agricultural labor and people who work for certain seasonal businesses.
To calculate overtime for non-exempt salaried employees, an employer must first divide the employee’s weekly salary by the number of hours it covers (typically 40) to determine the hourly rate. They must then multiply the hours worked beyond 40 in a workweek by 1.5 times the hourly rate to get the final overtime pay.
Yes. As of 2025, certain agricultural or seasonal workers are exempt from overtime in New Hampshire.