U.S. Department of Labor
Fair Labor Standards Act Advisor
Annual Dollar Volume (ADV)
You should now have enough information to decide what establishments or businesses are part of the enterprise for which you work. Remember that an enterprise is the related activities performed either through unified operation or common control for a common business purpose.
Next, you must estimate the annual dollar volume of sales of the enterprise. Many employees have information about their employer's general operations since employees commonly talk about business as they work. However, some employees don’t know the sales volume of the enterprise. Five hundred thousand dollars in sales equals about $10,000 per week or about $1,400 per day. You can attempt to estimate sales volume if you know the prices and quantities of the products or services sold at your business.
If you can't find out or can't estimate the amount of sales, an estimate of your employer's payroll costs can be used instead. Typically, the more employees an enterprise has, the more sales the business generates. You can get a rough idea of your employer's total payroll costs by using your own gross wages and making estimates. Your employer's sales volume should be substantially more than payroll costs. Therefore, if you believe your employer's payroll costs exceed $500,000 a year, it’s likely that the sales volume is also greater than $500,000 a year.
Do you work for an enterprise which has $500,000 or more in annual sales?
