I am compensated a flat salary with no overtime compensation - typical. No big deal. I am also compensated twice a month - on the 15th & the last day of the month.

I also punch a time clock to record how much time I'm putting in.

If for instance I work 10 hours a day for every day within that pay period, but one of those days, I miss a half day, say 4 hours - those hours aren't averaged out from the extra time I worked. I get docked those 4 hours. (And actually the time is taken from my vacation time or I lose the time - my choice. But I just started, so I don't have any vacation time accrued. It becomes a negative balance in my vacation time.)

So within the time period from Nov 1 - Nov 15, there is a minimum hour requirement of 88 hours (11 days). If I worked 10 days @ 10 hours/day & one day @ 4 hours = 104 hours within that pay period. That means that I worked 16 extra hours within that pay period, but I would still lose either 4 hours of pay or 4 hours of vacation time.

I need input.

This is legal, as long as your pay is actually not reduced (with pay being defined as a combination of your salary plus the vacation). Also, if you should leave before the vacation is accrued, your employer cannot deduct for used but not accrued vacation without risking your exempt status. If they do, I believe that you have a legitimate case to claim overtime for the time you were employed by them.

Let me know if you have any other questions.