How do FLSA 778.224 other similar payments work?

29 U.S.C. § 207(e)(2) and 29 CFR 778.224 exclude other similar payments not made as compensation for hours of employment — including parking benefits, truck or car rental sums, gym/wellness programs, tuition benefits, adoption assistance, loans/advances, and similar conveniences. Ordinary after-40 half-time still applies to hours worked. The payment may not be credited toward statutory overtime.

Are board, lodging, or ordinary bonuses other similar payments?

No. Under 778.224(a), most bonuses and the furnishing of facilities like board and lodging are compensation for services and are not excludable under the other-similar clause. Classic same punches with a board/lodging or bonus label → $1,188 (IN RR).

How is 778.224 different from 778.217 expenses?

778.217 covers reimbursable employer-benefit expenses (travel, tools) under the expenses prong of § 7(e)(2). 778.224 covers other similar payments such as parking, gym, wellness, tuition, and adoption assistance that are not compensation for hours of employment. Classic dollars differ: 778.224 $1,180 vs 778.217 expense excess paths.

Do truck rental or gym memberships count?

Yes. 778.224(b) expressly lists sums paid for rental of the employee's truck or car, parking spaces and parking benefits, gym access/memberships, wellness programs, tuition benefits, and adoption assistance as excludable examples when they do not depend on hours worked, services rendered, or job performance.

FLSA 778.224 Other Similar Payments — Excluded from Regular Rate

Q: Classic $20 × five 10h + $80 parking?

FLSA after-40 pay $1,100 + excluded $80 parking = $1,180. Ordinary /overtime/ is $1,100. Including the same $80 in the regular rate totals $1,188. Classic 778.211 with $250 is $1,350. Classic 778.225 with $150 is $1,250. Classic 778.213 with $100 is $1,200. Classic 778.222 with $75 is $1,175. Classic 778.212 with $1,600 is $2,700.

How 778.224 pays

Exclusion of the payment, not of the hours. Section 778.224 implements the residual clause of § 7(e)(2): payments similar to the idle-hours / expense exclusions — and not made as compensation for hours of employment — stay out of the regular rate and cannot be credited toward statutory overtime. Hours worked still earn ordinary extra half-time after 40 at the typed rate. Total = FLSA after-40 base + payment.

Examples in 778.224(b). Truck or car rental sums; loans or advances; parking spaces and parking benefits; restrooms/lockers; on-the-job medical care and EAP; gym access, memberships, and fitness classes; wellness programs; retail discounts and tuition benefits; adoption assistance. Conditions that do not depend on quality or quantity of work (waiting period, geographic eligibility, job-position limits) do not defeat the exclusion.

Not board/lodging or most bonuses (778.224(a)). The clause was not intended to exclude most bonuses or the furnishing of facilities like board and lodging, which are compensation for services even when not tied to particular hours. Label those kinds and the payment goes into the regular rate under 778.209.

Not 778.217 / 778.211 / 778.213. Reimbursable expenses under 778.217 are the expense prong of § 7(e)(2). Discretionary bonuses under 778.211 are § 7(e)(3)(a) (classic $250 → $1,350). Profit-sharing under 778.213 is § 7(e)(3)(b) (classic $100 → $1,200). Other-similar payments are the residual § 7(e)(2) path.

Classic · $20 · five 10h · $80 parking → $1,180 (vs /overtime/ $1,100 · include-in-RR $1,188 · 778.211 $250 $1,350 · 778.225 $150 $1,250 · 778.213 $100 $1,200 · 778.222 $75 $1,175 · 778.212 $1,600 $2,700).
Board/lodging / ordinary bonus / contrast · same punches · $80 → $1,188 (IN RR).
Truck rental / gym / wellness / tuition / adoption · $80 → $1,180.
Five 8h + $80 (no OT) → $880.
$0 payment → $1,100 (ordinary after-40).

Sources

29 CFR § 778.224 — "Other similar payments" (Cornell LII, HTTP 200)
29 CFR § 778.224 — eCFR (HTTP 200)
29 U.S.C. § 207(e)(2) — other similar payments statutory text (HTTP 200)
29 CFR § 778.200 — Inclusion / exclusion / crediting framework (HTTP 200)
29 CFR § 778.216 — Provisions of section 7(e)(2) (HTTP 200)
WHD Fact Sheet #56A — Regular rate under the FLSA (HTTP 200)
/flsa-778-217-expenses/ — 778.217 expense cousin
/flsa-778-211-discretionary-bonus/ — 778.211 discretionary cousin
/flsa-778-213-profit-sharing/ — 778.213 Part 549/547 cousin
/overtime/ — ordinary after-40 baseline

FAQ

Classic five 10h + $80 parking?

$1,100 FLSA after-40 + $80 excluded parking → $1,180 vs /overtime/ $1,100 vs include-in-RR $1,188 vs 778.211 $250 $1,350 vs 778.225 $150 $1,250 vs 778.213 $100 $1,200 vs 778.222 $75 $1,175 vs 778.212 $1,600 $2,700.

Board, lodging, or ordinary bonus?

778.224(a) says those are compensation for services — not "other similar" — include in RR (classic → $1,188).

Same as /flsa-778-217-expenses/?

No. 778.217 is reimbursable employer-benefit expenses. 778.224 is the residual "other similar payments" list (parking, gym, wellness, tuition, adoption, loans).

Truck rental or gym membership?

Yes — 778.224(b)(1) and (b)(3)(v) list them. Classic same punches → $1,180.

Can the payment be credited toward OT?

No. Like other § 7(e)(2) exclusions, other-similar payments are not creditable toward statutory overtime.