There are federal laws which cover the payment of wages. The primary federal law relating to minimum wage and overtime pay is called the Fair Labor Standards Act. The Fair Labor Standards Act is the law which establishes the prevailing standard of minimum wage. At the present time, the federal minimum wage is $7.25 per hour. Note that the minimum wage amount changes frequently, so it is crucial to verify the current federal minimum wage. Certain states have higher prevailing minimum wage amounts. When this occurs, the higher amount must be paid when operating a business and employing individuals in that state. Moreover, the Fair Labor Standards Act establishes overtime pay standards. Under the law, employers of covered employees must pay an amount of at least one and a half times of the hourly rate for overtime pay. Finally, under the Act, some industries are excluded from the Act's provisions, such as certain types of agricultural employees.