Executive. According to Labor Department regulations, an executive is one whose primary duty is management, regularly directs two or more full time employees, has authority to hire and fire, gives promotions, regularly exercises discretionary powers, doesn't spend more than 20% of his time on non-executive functions, and is paid a guaranteed salary of $500 per week.

Administrator. Defined in terms of doing office work directly related to management policies or general business, exercises discretion, regularly assists an owner or executive, does work requiring special training or knowledge, and doesn't spend more than 20% of his or her time on non-administrative work.

Note: If you own a service station, your service manager IS NOT exempt nor are technicians, cashiers, or other station, shop or office personnel including internal bookkeepers. In addition, you cannot "exempt" anyone simply by paying them a "salary" or "commission".

  Nancy