Who is exempt
Executive, administrative and professional employees as defined under the federal FLSA rules are exempt. The state labor director may set a lower salary standard for not-for-profit employers by rule. Source: ilga.gov↗ (opens in a new tab)
Comp time instead of overtime
Only government employers may give comp time instead of overtime pay, following the federal FLSA comp time rules. Private employers must pay cash overtime. Source: ilga.gov↗ (opens in a new tab)
Penalties
Employees can recover three times the unpaid wages, plus 5% per month while unpaid, plus attorney fees. Willful violations can add up to 20% and $1,500 owed to the state. Source: ilga.gov↗ (opens in a new tab)
The law and where to check
The law: 820 ILCS 105/4a (opens in a new tab)
The agency: Illinois Department of Labor (opens in a new tab)
What federal law says
The federal Fair Labor Standards Act (FLSA) requires 1.5 times the regular rate for hours over 40 in a workweek for non-exempt employees. Federal law has no daily overtime. The federal salary level for most exempt staff is $684 a week. Where state and federal rules differ, follow the rule that gives the employee more. Source: U.S. Department of Labor↗ (opens in a new tab) Source: U.S. DOL — salary levels↗ (opens in a new tab)
Free tool: work out overtime pay with our State Overtime Calculator.
Overtime checklist for Illinois employers
A simple order of work, based on the rules above. It is not a legal checklist.
- Decide which employees are non-exempt, and check exempt staff meet the salary and duties tests.
- Set your workweek (a fixed, repeating 7-day period).
- Track all hours worked, including daily hours if your state has daily overtime.
- Pay overtime at 1.5 times the regular rate, including bonuses where required.
- Use our free State Overtime Calculator to check the numbers.
- Keep time and pay records.
More Illinois employment law guides
- All Illinois employment laws
- Illinois final paycheck law
- Illinois paid sick leave law
- Illinois meal and rest break laws
- Illinois pay frequency law
- Illinois vacation and PTO payout law
- Illinois new hire reporting
- Illinois at-will exceptions
Overtime laws in other states
See every state on one page, or pick a state:
- Alabama
- Alaska
- Arizona
- Arkansas
- California
- Colorado
- Connecticut
- Delaware
- District of Columbia
- Florida
- Georgia
- Hawaii
- Idaho
- Illinois
- Indiana
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Massachusetts
- Michigan
- Minnesota
- Mississippi
- Missouri
- Montana
- Nebraska
- Nevada
- New Hampshire
- New Jersey
- New Mexico
- New York
- North Carolina
- North Dakota
- Ohio
- Oklahoma
- Oregon
- Pennsylvania
- Rhode Island
- South Carolina
- South Dakota
- Tennessee
- Texas
- Utah
- Vermont
- Virginia
- Washington
- West Virginia
- Wisconsin
- Wyoming
Sources
All official government sources, last checked October 19, 2026.
- https://www.ilga.gov/legislation/ilcs/fulltext.asp?DocName=082001050K4a
- https://www.ilga.gov/legislation/ilcs/fulltext.asp?DocName=082001050K3
- https://www.ilga.gov/legislation/ilcs/fulltext.asp?DocName=082001400K2
- https://www.ilga.gov/legislation/ilcs/fulltext.asp?DocName=082001050K12
- https://labor.illinois.gov/mwl
- https://www.dol.gov/agencies/whd/overtime
- https://www.dol.gov/agencies/whd/overtime/whdfs17u
Disclaimer: This guide provides general information based on publicly available official sources and is for information only. It is not legal, tax, payroll or employment-law advice and does not guarantee compliance with federal, state or local requirements. Rules can depend on your location, industry, contracts and other circumstances, and laws change. Always check the official source, the relevant government agency or a qualified professional before making a decision. MadyHR.ai accepts no responsibility for any action taken based on this page.
Last checked: . Every rule and source link on this page was checked against the official government source on this date. Laws change, so always open the source link before you act.