Topic: Supplemental Pay for Hourly Personnel
Reference or Contact: Payroll Department
The Fair Labor Standards Act (FLSA) does not allow the district to pay hourly employees a stipend or give supplemental pay for coaching, sponsoring, directing, managing, or facilitating groups of students (such as coaching a basketball team, Honor Society sponsor, computer club sponsor, etc.). In many cases employers make such payments to avoid actual overtime pay to employees. Stipends are not allowed even when the employee would make more money with the stipend than with the overtime and even if the employee is willing to accept a stipend in lieu of overtime.
FLSA does, however, allow for “occasional” or “sporadic” work on a part-time basis with hourly employees in a capacity different from their regular duties. Examples of this would be paying employees for taking tickets at a game, providing security for special events, working in concession stands, etc.