The total sum of money that an employee receives in return for their services is referred to as compensation. Employees in an organization get compensation, which consists of their base pay plus bonuses, incentives, and other additions, primarily on a monthly basis. Money is a component of compensation, but it’s not the only thing. A variety of components make up compensation, which can include both monetary and non-monetary payments. A list of some of the most popular forms of compensation is provided below. Base pay (either salary or hourly rates) Commissions Longevity pay, shift differences, and overtime compensation Bonus Distributions of Profits Merit Compensation or acknowledgment Tip money or an incentive program or achievement award Benefits include retirement, vacation time, health insurance, dental care, and more. Options for stocks Allowance for Travel, Meals, and Housing Child care and financial aid for tuition Free lunches and gym memberships programs for employee help that offer legal representation, counseling, and other services. Benefits to health and wellness Additional non-monetary advantages
