What is flextime?

Flextime is a schedule that lets employees choose when they start and finish, within limits, usually around a set of core hours when everyone works. It changes when people work, not how hours are counted for overtime.

In shortFlextime, or flexible working hours, is an arrangement where employees choose their start and end times within a band set by the employer. A typical policy has core hours, such as 10:00 a.m. to 3:00 p.m., when everyone must be available, and flexible bands before and after, such as 7:00 to 10:00 and 3:00 to 7:00. Some policies also allow people to vary their hours from day to day as long as they reach a weekly total. Flextime is different from a compressed workweek, which fits full-time hours into fewer days, and from remote work, which is about where people work. For non-exempt employees, flextime does not change the FLSA rules. Overtime is still owed after 40 hours in a workweek, and hours cannot be averaged across weeks, so a 44-hour week followed by a 36-hour week means 4 hours of overtime in the first week. In states with daily overtime, such as California, a long day can trigger overtime even when the weekly total is 40, unless an exception applies. Accurate time records matter more under flextime, because start and end times vary, and a policy that expects people to make up hours from one week in the next can create unpaid overtime.

Flextime and similar arrangements

Flexible arrangements compared
Arrangement What changes Overtime point to watch
Flextime Start and end times within a band Weekly total over 40; daily overtime in some states
Compressed workweek Full-time hours in fewer days Longer days in states with daily overtime
Remote or hybrid Where people work Tracking hours outside the workplace
Part-time Total hours Hours drifting up without notice

See workplace flexibility, compressed workweek and the flexible work schedule guide.

A flextime day7 to 10 flex10 to 3 core hours3 to 7 flexOvertime still counts per workweek
Employees choose start and end times in the flexible bands and work through the core hours.

Worked example: making up hours the wrong way

A Friday off that cost overtime

A claims office lets non-exempt staff set their own hours between 7:00 a.m. and 7:00 p.m., with core hours of 10:00 to 3:00. An adjuster wants next Friday afternoon off, so she plans to work 4 extra hours this week and 4 fewer next week.

Her manager agrees, thinking it evens out. It does not under the FLSA. This week she works 44 hours, and the 4 hours over 40 are overtime at time and a half. At $26 an hour, that is 4 x $13 = $52 of overtime premium, even though the two weeks total 80 hours.

The office updates its policy. Flex hours can move within a workweek, Monday to Friday, but not from one workweek to the next. If she wants Friday afternoon off, she can work longer days earlier in the same week, so the week still totals 40. The office has no California staff, so there is no daily overtime question.

Mistakes that are specific to flextime

Tracking hours under flextime

Flextime makes accurate time records more important, not less. When start and end times vary, nobody can assume an employee worked 9 to 5, so the record has to come from actual clock-ins and clock-outs, including meal breaks.

Set up three checks. Review each non-exempt employee’s weekly total before payroll, so a week over 40 hours is paid as overtime. Make sure the core hours are covered, because flexibility at the edges only works if the middle of the day is staffed. And watch for work outside the flexible band, such as early emails or late calls, which still counts as hours worked for hourly staff.

Second example: covering the edges of the band

A customer support team of 12 hourly agents uses flextime with core hours of 10:00 to 3:00 and a flexible band from 7:00 to 7:00. Customers call from 8:00 to 6:00.

In the first month, almost everyone chooses 9:00 to 5:30, and the 8:00 and 5:30 to 6:00 slots are empty. The team adds a simple rule: at least two agents must start by 8:00 and two must stay until 6:00, chosen by sign-up each week. Agents still choose their own hours, and every hour that customers call is covered.

Flex inside the week, never across itWrite one sentence into the policy: hours may be moved within a workweek but not between workweeks. It keeps flextime flexible and keeps it out of unplanned overtime.

Questions people ask

What is flextime?

A schedule that lets employees choose their start and end times within limits, usually around core hours.

Do flextime employees get overtime?

Non-exempt employees on flextime get overtime after 40 hours in a workweek, the same as anyone else.

What are core hours?

The hours when everyone on a flextime schedule must be working or available, such as 10:00 a.m. to 3:00 p.m.

Is flextime the same as a compressed workweek?

No. Flextime changes when you start and finish. A compressed workweek fits full-time hours into fewer days.

Can exempt employees have flextime?

Yes. For exempt employees, flextime is mostly about coverage and availability, because they are not paid overtime. The policy should still set core hours.

How do you track hours under flextime?

Use actual clock-ins and clock-outs, review weekly totals for non-exempt staff before payroll, and count work done outside the band as hours worked.

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Disclaimer: Treat this guide to flextime as general information rather than legal, payroll or tax advice: rules vary by location and change, and every example here is fictional.