Misclassification is when a company labels you in a way that lets it skip overtime, minimum wage, or both. It happens two ways, and both are common in New York.
You are paid as an independent contractor. You get a 1099 instead of a W-2, no overtime, no wage statements, sometimes no minimum wage. But the company sets your hours, tells you how to do the work, supplies the tools, and you cannot send someone else in your place. Under New York law, that is an employee.
You are salaried and told you are exempt. You have a title like manager, coordinator or account manager, you are paid a flat salary, and you are told salaried people do not get overtime. That is only true if the job passes two tests: the salary must be above New York’s floor, and your actual duties must be managerial. In 2026 that floor is $1,275 a week in New York City, Long Island and Westchester, and $1,199.10 a week in the rest of the state. If your salary is below that, or your day is mostly the same work as the hourly people around you, the title does not make you exempt.