When you’re looking at a job offer or just looking at your paycheck, you might come across the terms “exempt” or “nonexempt” to describe your employment status. But what do these terms mean, and how is your exempt or nonexempt classification decided? Plus, what can you do if you feel that you’ve been misclassified—and should be making overtime for working more than 40 hours a week? Here’s what you need to know about being exempt or nonexempt and how it affects you as an employee.