FLSA (Fair Labor Standards Act) overtime sets the laws for determining who is eligible for overtime and what exactly overtime is. Created in 1937, this act established the workweek to be set at 40 hours, and that any additional hour worked that week would receive one-and-a-half times the normal hourly rate for compensation. This act also set workers into two categories-those who were eligible for overtime ("non-exempt") and those who were not ("exempt"). Exempt workers are most often those workers who are on salary, and are considered to be exempt because they traditionally earn more and have more responsibilities at work. They can work any amount of hours a week and not be eligible for any overtime (unless they have a contract that states otherwise). Besides salaried workers, Independent contractors as also exempt, as are types of agricultural workers, truckers, live-in employees and outside sales people.