Employee overqualification is becoming increasingly relevant in a post-pandemic world. While there have been theoretical advancements in the overqualification literature, several methodological issues remain unresolved. Specifically, the conceptualization and operationalization of perceived overqualification (POQ) are often not aligned. To date, the perception of overqualification is not yet fully understood. Thus, the main goal of this dissertation is to address these methodological limitations. In Study 1, I refined the scope of POQ by offering an explicit construct conceptualization grounded in person-job fit theory and developed a new scale to measure the multidimensional construct. In Study 2, I validated the psychometric properties of the Perceived Overqualification at Work Scale (POQWS) and explored the relationship of POQ with various work-related outcomes. Taking a person-centric approach, I used latent profile analyses (LPA) to identify different profiles of overqualified employees in Study 3 based on the POQWS dimensions. This study is the first to examine the process by which patterns of variables are identified in POQ profiles and how these combinations differentially relate to outcomes. Results from a series of exploratory and confirmatory factor analyses clearly supported a four-factor model. In the subsequent study, four distinct profiles emerged from the latent profile analyses. One-way analyses of variance (ANOVA) provided further criterion-related validity evidence for these four profiles. Taken together, the findings from this dissertation lay the grounds for future person-centered research.