Labor Costs May Soar for Entrepreneurs. Entrepreneurs should be paying close attention to proposed federal changes to the "white collar" exemptions of the federal minimum wage and overtime law, otherwise known as the Fair Labor Standards Act (or FLSA). These changes, if enacted, could cost entrepreneurs big. To understand the proposals first requires understanding of the five FLSA exemptions. They are: executive (supervisory), learned/creative professional, administrative, outside sales and computer professional. Any employee who falls under one of these exemptions is ineligible for overtime. To be exempt under one of the white collar exemptions, three requirements must be met, but are subject to certain exceptions. (1) Minimum salary: The current minimum salary is $455 per week, though a $970 per week minimum salary has been proposed. (2) The employee must be paid on a salary, not hourly, basis. (3) The employee's primary (or most important) duty must be exempt. Currently, this is qualitative.