Salary is paid to "exempt" employees. These are people who do not have to account for the hours they put into the job; rather they are paid to get the job done. They still have to account for holidays, sick days and vacation days, just not the individual hours. Often they get bonuses or other incentives since these jobs are largely management, sales or project related. Wages are paid to "non-exempt" or "hourly" employees. These people account for their time on a time card or other record keeping system. Depending on the company, they may earn overtime for extra hours, or be expected to take time off to offset any late hours within the same time period. Usually the employee has to have worked a full40 hour week to earn overtime. By the way, the employer does not have the right to amend a time card without employee permission/initial. Answer: A Wage is, as mentioned, an amount paid per hour. A salary is a fixed amount of pay per week or month (usually paid semi-monthly). A yearly pay is known as an annual amount or annual pay. Minimum wage as of July15,2009, is $7.25 per hour. Salary is paid notwithstanding the amount of hours to usually Management employees. He gets paid $10 per hour. (wage) He gets paid $600 a week. (Salary) He gets paid a salary of $4,500 per month. His wages, with all the hours he works, totals an average pay of $4,500 a month. His annual earnings are about $55,000 per year. I earn six-figure income. The problem is that two of them are behind the decimal point! Other forms of income include piecerate and daily pay (such as for a taxicab driver). Unearned income are normally called benefits or pension benefits.
Posted on: Sat, 22 Jun 2013 16:45:57 +0000
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