rjs
Level 15
Level 15

Get your taxes done using TurboTax

You have to ask your employer what "exempt compensation" means. It's not a common term. Since you are exempt you are not eligible for the deduction for overtime. If the "exempt compensation" is not on your W-2, chances are you don't enter it on your tax return at all. Reread the letter and see if it explains what "exempt compensation" is. If it's not clear, ask your employer to explain it.