Salary
A salary is a fixed amount of money paid regularly to an employee for work, usually stated as an annual sum and paid in periodic installments.
Wage: A wage is payment for work, commonly calculated by hours worked, tasks completed, or units produced. Unlike salary, wages often vary with hours or output.
Pay grade: A pay grade is a defined range of compensation assigned to a job or group of jobs. Employers use grades to set salary ranges for roles.
Hourly wage: An hourly wage is payment calculated by multiplying an hourly rate by hours worked. It varies with hours worked, unlike a fixed salary.
Pay equity: Pay equity is the principle that compensation should be fair across comparable work, without unjustified disparities. Salary comparisons expose differences that equity policies seek to address.
Compensation: Compensation is the total monetary and nonmonetary value an employer provides in exchange for work. Salary is one component of a broader employment package.
Pay scale: A pay scale is a structured schedule of compensation levels, often linked to role, seniority, or experience. It establishes how salaries differ across positions or career stages.
Piece rate: A piece rate pays workers for each unit or task they complete. It links pay directly to output rather than a regular fixed amount.
Gender pay gap: The gender pay gap is the difference in average earnings between women and men. Salary patterns contribute to measured differences in earnings.
Employment contract: An employment contract sets out agreed terms and conditions between an employer and an employee. It can specify salary, payment timing, and review terms.
Merit pay: Merit pay is compensation increased or awarded according to an employee's assessed performance. It ties salary progression to performance evaluations.