Today’s blog we are going to be talking about yet another thing that you may have been dissuaded from discussing – what paralegals are really earning. Last week the Department of Labor’s (DOL) Wage and Labor Administrator issued an opinion that reminded the legal field in order for paralegals to be exempt from overtime, they must be earning at least $100,000 a year.

And every paralegal making the typical paralegal salary, which is less than $100k – choked on their coffee in equal parts of astonishment and annoyance when they saw that – right after they clocked their 55th billable hour.

Working Overtime? Paid Salary?

I could be reaching here, but I know a lot of paralegals, and I am going to venture to say that the majority of them are not making at least $100,000 a year.

Additionally, the majority of paralegals I know work for small to medium-size firms or solo attorneys. They are often paid an annual salary and are generally clocking at least 50 hours a week. 

Behind closed doors, after a few glasses of wine, we commiserate on such things. Knowing that we are not being paid justly, yet not feeling worthy enough to ask for correct compensation. Well, I am here to remind you hunty – this is not an internship, GET PAID. 

DOL Opinions Remind Us How New The Paralegal Field Truly Is

The DOL’s opinions are interesting. Given the fact that the first opinion to ever mention the word paralegal was issued in 2005. 

However, the opinions should also serve as a reminder to the legal field that paralegals are often unjustly underpaid. The opinion comes as a response to an international law firm who requested an opinion on the subject. Which anyone of us can request. Click here to check out the DOL’s website where they discuss requesting an opinion. 

Overworked? Underpaid? – You Might Be A Paralegal

This particular trade organization did not detail how many paralegals it employed, but it did explain the paralegal salary earned annually by its paralegals to be at least $100,000. Now, the few news outlets that reported on this were all just like, “Eh, highly paid paralegals don’t qualify for overtime. Now we know.”

No one said what we were all thinking – rarely, very rarely do paralegals make it past the $100,000 mark. And often, very often – paralegals are working overtime and not being properly compensated. 

And…get this. The DOL is currently working to increase the highly compensated employee mark to $147,414 (among other things). So if you are a salaried paralegal, remember you are not exempt from overtime until you are earning a cool $100,000 a year. 

Click here for the first opinion the DOL issued regarding paralegals and 13(a)(1), and here to see the second one issued later that year, and here to read the most recent opinion regarding the application of highly paid individuals exemption.

Our friends at Gusto have a lot of tools to help attorneys and other employers navigate all these HR issues that are vital to running a business. Like their blog “What’s the Difference Between an Exempt and Nonexempt Employee?” and their handy-dandy Salary Comparison Tool. It lets you know the median income  for paralegals and legal assistants in every state. These free tools can really help small firms avoid costly and embarrassing HR pitfalls.