[Code of Federal Regulations]
[Title 29, Volume 3]
[Revised as of July 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 29CFR531.60]

[Page 174-175]
 
                             TITLE 29--LABOR
 
         CHAPTER V--WAGE AND HOUR DIVISION, DEPARTMENT OF LABOR
 
PART 531_WAGE PAYMENTS UNDER THE FAIR LABOR STANDARDS ACT OF 1938
--Table of Contents
 
                        Subpart C_Interpretations
 
Sec. 531.60  Overtime payments.

    (a) When overtime is worked by a tipped employee who is subject to 
the overtime pay provisions of the Act, his regular rate of pay is 
determined by dividing hs total remuneration for employment (except 
statutory exclusions) in any workweek by the total number of hours 
actually worked by him in that workweek for which such compensation was 
paid. (See part 778 of this chapter for a detailed discussion of 
overtime compensation under the Act.) In accordance with section 3(m), a 
tipped employee's regular rate of pay includes the amount of tip credit 
taken by the employer (not in excess of 50 percent of the applicable 
minimum

[[Page 175]]

wage), the reasonable cost or fair value of any facilities furnished him 
by the employer, as authorized under section 3(m) and this part 531, and 
the cash wages including commissions and certain bonuses paid by the 
employer. Any tips received by the employee in excess of the tip credit 
need not be included in the regular rate. Such tips are not payments 
made by the employer to the employee as remuneration for employment 
within the meaning of the Act.