Understanding Employee Compensation Terms

What is the term for an amount paid to an employee based on a percentage of the employee's sales?

• Salary

• Commission

• Wage

• Deduction

Which of the following is a fixed amount of money paid to an employee for each pay period?

• Commission

• Wage

• Salary

• Piece Work

What are the extras an employer provides employees in addition to pay, such as insurance or paid time off, called?

• Fringe Benefits

• Job Benefits

• Deductions

• Contract Pay

What are additional employee benefits paid for by the employer, such as a cell phone or gas card, called?

• Job Benefits

• Fringe Benefits

• Gross Pay

• Net Pay

What is the term for the amount of money taken from an employee's gross pay for taxes, insurance, Social Security, and other benefits?

• Gross Pay

• Net Pay

• Deduction

• Commission

What is a financial agreement between two or more parties for doing something specific called?

• Contract Pay

• Piece Work

• Wage

• Salary

What is the total amount of an employee's earnings before deductions are taken out?

• Net Pay

• Gross Pay

• Commission

• Deduction

What is the amount of income left after taxes and deductions have been taken out?

• Gross Pay

• Net Pay

• Salary

• Wage

What is work paid for according to the amount produced called?

• Piece Work

• Commission

• Contract Pay

• Wage

What is an amount of money paid to an employee at a specific rate per hour worked?

• Salary

• Wage

• Commission

• Gross Pay