Salary is what? What does an employee's salary include?

When employing a huge number of schemes of calculations between the employer and the employee is used. Salary is one of them, but not the only one. What are other, what are their advantages and disadvantages?

Wage options

Employers can easily get confused and confuse their employees, without understanding, for example, the difference between the rate and salary. Of course, any option can be called a salary and do not understand what it is made of, but will it be correct? It is much wiser to think about what affects the amount of income, and what does not. Perhaps, for fulfillment of some duties it is necessary to ask the heads about the increase of the salary? So it is necessary to understand the intricacies of terms related to wages.

The options are really not so many. There are tariff, non-tariff and mixed types of wages. In turn, the first is also divided into different types:

• Piecework form, in which you can objectively assess the performance of labor by establishing, for example, production rates. There are different calculation schemes, based on functionality and factors that are important for performance. So, the salary can depend on the results of the work not only of one person, but also, for example, of a group;
• Time-based form, in which the payment depends on the qualification of the employee and the time spent. It also implies different calculation systems.

As for the non-tariff and mixed varieties, as a rule, they do not imply specific indicators and results of the work of employees, while evaluating their participation in the production process in terms of effectiveness. In any case, the calculation scheme should be as simple and transparent as possible. After all, the employer is interested in making the work as efficient as possible, so that the dependence of the amount of money paid and the time or effort spent should be completely understandable.

Salary

This is one of the frequently used options, which refers to the tariff variety. It has been successfully used for quite a long time in a variety of areas. The salary of an employee is an invariable part of the earnings, which is paid on the condition that the month has been fully worked out, that is, there were no sick leave, vacation, compensatory time off, etc. In other words, this is the "hard" part of the salary that will be accrued, even if the results Work activity is zero. The size of the salary is constant and registered in the employment contract, any changes are made by signing additional agreements with the employee.

Applications

An official salary is a concept that is directly associated with the state, so this phrase is similar to a chancery. And all is true, first of all such a scheme of labor payment is applied to state employees. This category includes doctors, teachers, civil servants, the military, etc. In this case, this form of calculation between the employer and the employee is extremely convenient and predictable. For more convenience even staff schedules and tariff grids are being developed , showing fork wages for people of various professions with different qualifications.

In addition, in part, the salary scheme can be applied in the field of sales. In addition to a small but constant part of earnings, the employee receives allowances depending on the effectiveness of his activities. For example, the employer pays him a percentage of transactions and contracts concluded.

It is also worth remembering that the salary is the amount of earnings before taxes are withheld. So, it is necessary to take into account when signing the employment contract that the number in it does not in any way reflect the amount of money that can be received on the basis of the work.

What does it consist of?

As in the case of civil servants, and in commercial organizations, the salary is understood to be approximately the same. And this part of earnings includes only the amount established by the employer. A few years ago, the salary could not be lower than the minimum wage, but the current legislation allows it - if the monthly salary still exceeds this value. In order to achieve this, various increments, coefficients, bonuses, etc., are applied.

If we are talking about employees of the budgetary sphere, then take into account the qualifications, length of service, district, special conditions and many other factors, and not just the position. And then a miserable, it would seem, amount of earnings can grow several times. The salary itself, too, may in some cases not be paid in full, for example, if the employee has gone on leave or on sick leave. But in any case, the amount of accrued earnings for the month should be higher than the minimum wage by law.

The same goes for commercial structures. Interest from sales and transactions, bonuses on the basis of the results of the month and other surcharges are designed to make work on the fact more highly paid. Initially, the salary does not include everything.

The difference with the rate

In the understanding of the majority of the townsfolk there are no fundamental differences between the two terms, but this is not so. The rate is a full salary without deductions of taxes, but with the coefficients, premiums and premiums already applied. It is much closer to what the employee really sees as his income. Another thing is the tariff rate. Salary - in this case a synonym. It's easy to get confused, but it's better not to do it, because the difference between the two amounts that cover these terms can be huge.

Advantages and disadvantages of salary

In such a pay system there are pros and cons for both sides: the employer and the employee. First, this scheme is more motivating than stable full earnings, which does not take into account the results of the activity. In addition, it allows the company to more flexibly and effectively approach the issue of spending the payroll.

However, this form of calculation entails difficulties for accountants. Instead of charging and holding the same amounts, they have to constantly update the data on the allowances for earnings of certain employees.

For the employees themselves, the salary is also not always a convenient scheme, even with good and regular bonuses, especially for commercial companies. It is impossible to plan spending for a long period, since it is somewhat difficult to calculate earnings in the following months. Still there are so-called seasonal downturns of business activity when the salary can be and at all very small. On the other hand, if you work hard, you can expect a very high estimate from the employer, and in monetary terms.