How do FLSA 778.225 / Part 550 talent fees work?

29 U.S.C. § 207(e)(3)(c), 29 CFR 778.225, and Part 550 exclude qualifying talent fees — extra payments to staff performers and announcers for particular commercial or sustaining programs, agreed in a specific amount in advance — from the regular rate. Ordinary after-40 half-time still applies to staff hours worked.

Classic $20 × five 10h + $150 talent fee?

FLSA after-40 pay $1,100 + excluded $150 talent fee = $1,250. Ordinary /overtime/ is $1,100. Including the same $150 in the regular rate totals $1,265. Classic 778.212 with $1,600 is $2,700. Classic 778.213 with $100 is $1,200. Classic 778.222 with $75 is $1,175.

How is 778.225 different from 778.212 gifts?

778.212 is the § 7(e)(1) gift / Christmas path (must not be contractual). 778.225 / Part 550 is the § 7(e)(3)(c) talent-fee path for radio/TV performers — fees are contractual extras for particular programs, with an optional off-schedule proviso.

Who is not a performer under Part 550.2?

Script writers, stand-ins, directors who are neither seen nor heard, and technicians such as engineers, electricians, and stage hands are not performers. Their payments do not qualify — classic same punches put the fee in RR → $1,265.

FLSA 778.225 Talent Fees — Excluded from Regular Rate

How 778.225 / Part 550 pays

Exclusion of the talent fee, not of the staff hours. Section 778.225 points to Part 550: qualifying talent fees stay out of the regular rate and cannot be credited toward statutory overtime. Staff hours worked still earn ordinary extra half-time after 40 at the typed rate. Total = FLSA after-40 base on staff hours + talent fee.

Part 550 gates. The fee must be an extra payment to a staff performer (including announcers) for a particular commercial or sustaining program or special services, in a specific amount agreed in advance, and not credited or offset against other remuneration.

Off-schedule proviso (550.1(b)). When the program falls outside the regular workday or workweek established in good faith, and the parties agree in advance that the special payment includes any increased statutory compensation attributable to those additional hours, and the fee is actually sufficient for statutory ST+OT computed without talent fees, the Act does not require additional compensation for that program time.

Not 778.212 / 778.213. Gifts under 778.212 are the § 7(e)(1) path (classic two-weeks $2,700). Profit-sharing under 778.213 is § 7(e)(3)(b) / Parts 549 & 547 (classic $100 → $1,200). Talent fees are § 7(e)(3)(c) / Part 550.

Classic · $20 · five 10h · $150 talent → $1,250 (vs /overtime/ $1,100 · include-in-RR $1,265 · 778.212 $1,600 $2,700 · 778.213 $100 $1,200 · 778.222 $75 $1,175).
Off-schedule · five 8h + 4h program · $150 (≥$120 statutory) proviso → $950 (vs combine hours $1,070).
Insufficient fee · same punches · $100 (<$120) → $1,020 (hours combine; fee still excluded).
Technician / not performer · five 10h · $150 → $1,265 (IN RR).
$0 talent fee → $1,100 (ordinary after-40).

Sources

29 CFR § 778.225 — Talent fees excludable under regulations (Cornell LII, HTTP 200)
29 CFR § 778.225 — GovInfo CFR XML (HTTP 200)
29 CFR § 550.1 — “Talent fees” definition + off-schedule proviso (HTTP 200)
29 CFR § 550.2 — Extra payment / performer / special services definitions (HTTP 200)
29 CFR Part 550 — eCFR Part 550 (HTTP 200)
29 U.S.C. § 207(e)(3)(c) — talent fees (HTTP 200)
29 CFR § 778.200 — Inclusion / exclusion / crediting framework (HTTP 200)
WHD Fact Sheet #56A — Regular rate under the FLSA (HTTP 200)
WHD FOH Chapter 32 — Field Operations Handbook (HTTP 200)
/flsa-778-212-gifts/ — 778.212 gift cousin
/flsa-778-213-profit-sharing/ — 778.213 Part 549/547 cousin
/overtime/ — ordinary after-40 baseline

FAQ

Classic five 10h + $150 talent fee?

$1,100 FLSA after-40 + $150 excluded talent fee → $1,250 vs /overtime/ $1,100 vs include-in-RR $1,265 vs 778.212 $1,600 $2,700 vs 778.213 $100 $1,200 vs 778.222 $75 $1,175.

Off-schedule Part 550.1(b) proviso?

Five 8h staff + 4h off-schedule program with $150 (≥$120 statutory) agreed to include ST+OT → $950. Without the proviso (hours combine, fee excluded) → $1,070. Insufficient $100 → $1,020.

Same as /flsa-778-212-gifts/?

No. 778.212 is § 7(e)(1) gifts (not contractual). 778.225 / Part 550 is § 7(e)(3)(c) talent fees for radio/TV performers — contractual extras for particular programs, with an optional off-schedule proviso.

Technician or non-performer?

Part 550.2 excludes script writers, stand-ins, unseen/unheard directors, and technicians. Uncheck performer — fee goes into RR (classic → $1,265).

Not agreed in advance?

Then it is not a Part 550 talent fee — include in RR (classic same punches → $1,265).