Kentucky Overtime Law: Daily Overtime, the 40-Hour Rule, and Exemptions

Kentucky does not require daily overtime. Like federal law, Kentucky pays overtime on a weekly basis: a covered, non-exempt employee earns one and one-half times their regular rate of pay for all hours worked over 40 in a single workweek (KRS 337.285). There is no general rule requiring extra pay for working more than 8 hours in a day. Kentucky does, however, have one feature that surprises many workers and employers: under KRS 337.050, an employee who is permitted to work seven days in a single workweek must be paid time and one-half for the hours worked on that seventh day. That is Kentucky's closest equivalent to a "daily" overtime rule, and it exists in only a handful of states.

The core rule: weekly 40-hour overtime

Kentucky's overtime requirement tracks the federal Fair Labor Standards Act (FLSA). Both require time and one-half the regular rate for hours over 40 in a workweek, and neither requires daily overtime, weekend premiums, or holiday premiums as a matter of law. If your employer promises a weekend or holiday differential, that comes from a contract or company policy, not from Kentucky's overtime statute.

A "workweek" is a fixed, recurring period of seven consecutive 24-hour days (168 hours). It does not have to match the calendar week, but once set it should stay consistent. Your 40-hour threshold is measured within that single workweek. Hours cannot be averaged across two weeks to avoid overtime; working 30 hours one week and 50 the next still entitles you to 10 hours of overtime in the second week.

The overtime rate and the "regular rate"

The overtime rate is 1.5 times your regular rate of pay, not just your base hourly wage. The regular rate generally includes nondiscretionary bonuses, shift differentials, and certain commissions, so it can be higher than your stated hourly rate. Kentucky's minimum wage is $7.25 per hour as of 2026, the same as the federal FLSA minimum, because Kentucky has not enacted a higher state minimum. Because minimum-wage and tip rules can change, confirm the current figure with the Kentucky Labor Cabinet before relying on it.

Kentucky's seventh-day rule (KRS 337.050)

This is where Kentucky departs from the bare federal baseline. KRS 337.050 provides that if an employer permits an employee to work all seven days of a workweek, the employee must receive time and one-half for the time worked on the seventh day. Importantly, this is separate from the 40-hour rule, so in some weeks an employee could be owed seventh-day pay even on hours that, by themselves, would not push the weekly total over 40, depending on how the hours fall.

The seventh-day rule has statutory exceptions. It generally does not apply to employees whose total weekly hours are very low (the statute excuses it where the employee does not work more than a limited number of hours that week), and it does not apply to employers and employees who are exempt from KRS Chapter 337's wage-and-hour provisions. Because the precise thresholds and carve-outs are technical, verify how the rule applies to your situation with the Labor Cabinet or an employment attorney rather than assuming.

Who is exempt from overtime

Kentucky recognizes the familiar "white-collar" exemptions for bona fide executive, administrative, and professional employees, along with outside sales and certain computer employees. To qualify, an employee generally must be paid on a salary basis above a minimum threshold and must perform exempt job duties. A job title alone never makes someone exempt; the actual duties and pay structure control.

Other categories are exempt or specially treated under KRS Chapter 337 and the FLSA, including certain agricultural workers, some commissioned retail employees, and specific transportation roles. Notably, exempt status for overtime does not necessarily strip away every protection. The seventh-day rule and other Chapter 337 provisions have their own exemption lists that do not always match the overtime exemptions exactly, so a worker can be exempt from one rule but covered by another. Misclassification, treating an hourly worker as "salaried exempt," or labeling an employee an "independent contractor" who is really an employee, is one of the most common ways overtime is wrongly denied.

Common overtime problems

  • Off-the-clock work: Time spent on required pre-shift or post-shift tasks, or working through an unpaid meal break, is compensable and counts toward 40 hours.
  • Misclassification: Being paid a salary does not automatically make you exempt; the duties test still applies.
  • "Comp time" in the private sector: Private employers generally cannot substitute future time off for overtime pay owed; comp time is mainly a public-sector option.
  • Averaging hours across weeks: Overtime is calculated one workweek at a time.
  • Excluding bonuses from the rate: Nondiscretionary bonuses must be folded into the regular rate used to compute overtime.

How to recover unpaid overtime in Kentucky

If you are owed overtime, you have more than one path. You can file a wage complaint with the Kentucky Labor Cabinet's Division of Wages and Hours (the state agency that enforces KRS Chapter 337), file a federal complaint with the U.S. Department of Labor's Wage and Hour Division under the FLSA, or bring a private lawsuit. KRS 337.385 allows an employee to recover the unpaid wages plus, in many cases, an equal additional amount as liquidated damages (effectively doubling the recovery) along with attorney's fees and costs, unless the employer proves it acted in good faith.

Act promptly, because claims have deadlines. Kentucky courts have generally applied a five-year statute of limitations to wage claims created by statute (KRS 413.120), while the federal FLSA generally allows two years, or three years for willful violations. Because the applicable limitations period can depend on how the claim is framed, confirm your deadline with the Labor Cabinet or an attorney quickly rather than waiting. The law also prohibits employers from retaliating against employees who assert wage rights.

Practical steps

  • Keep your own record of hours worked, including start and end times and missed breaks.
  • Save pay stubs, schedules, and any written policies about overtime or "comp time."
  • Compute what you believe you are owed, including overtime on bonuses and the seventh-day premium if it applies.
  • Contact the Kentucky Labor Cabinet or the U.S. Department of Labor, or consult an employment lawyer.

Where to verify

The authoritative sources are the Kentucky Revised Statutes (KRS) Chapter 337 and the Kentucky Labor Cabinet, which houses the Division of Wages and Hours. For the federal baseline, consult the U.S. Department of Labor's Wage and Hour Division. Because wage figures and administrative rules are updated periodically, treat any dollar amount or deadline here as a starting point and confirm the current rule with the official state source before acting.

This page is based on Kentucky employment law. Rules and figures change — verify the current details directly with the official Kentucky sources below. This is general legal information, not legal advice.

Federal law and local ordinances may also apply. Federal laws like the Fair Labor Standards Act set a national floor, and your city or county may add protections (such as a higher local minimum wage or paid sick leave). Check both alongside Kentucky state law.

Frequently asked questions

Does Kentucky require daily overtime after 8 hours?

No. Kentucky pays overtime on a weekly basis, at 1.5 times the regular rate for hours over 40 in a workweek. There is no general rule requiring extra pay for working more than 8 hours in a day. Kentucky's one daily-style rule is the seventh-day premium under KRS 337.050.

What is Kentucky's seventh-day overtime rule?

Under KRS 337.050, if an employer permits an employee to work all seven days in a single workweek, the employee must receive time and one-half for the hours worked on the seventh day. The rule has exceptions, including for very low weekly hours and for employers and employees exempt from KRS Chapter 337.

What is the overtime rate in Kentucky?

Time and one-half the employee's regular rate of pay. The regular rate includes nondiscretionary bonuses, shift differentials, and certain commissions, so it can be higher than your stated hourly wage. Kentucky's minimum wage is $7.25 per hour as of 2026, matching the federal minimum; confirm the current figure with the Kentucky Labor Cabinet.

How long do I have to file an unpaid overtime claim in Kentucky?

Kentucky courts have generally applied a five-year statute of limitations to wage claims created by statute (KRS 413.120), while the federal FLSA generally allows two years, or three for willful violations. Deadlines depend on how the claim is framed, so confirm yours quickly with the Kentucky Labor Cabinet or an attorney.

Can I recover extra damages for unpaid overtime in Kentucky?

Yes. Under KRS 337.385 you may recover the unpaid wages plus an equal amount as liquidated damages, effectively doubling the recovery, along with attorney's fees and costs, unless the employer proves it acted in good faith.

This article is general legal information, not legal advice, and may not reflect the most current law or the law in your jurisdiction. Laws vary by state and change over time. For advice about your specific situation, consult a licensed attorney.

Knowing your rights is the first step

Join thousands committing to calmly and consistently exercise their constitutional rights.

Take the Pledge