Benefits Of Salaries And Wages Essay example

996 Words Jun 27th, 2016 4 Pages
According to Wikipedia, “salaries and wages are the sum of remuneration paid to employees, including the values of any social contributions, income taxes, etc., payable to employees.” It essentially is the monthly, or sometimes, weekly amount of money that the employees are getting paid by their employers because of their contract. One thing that all working people have in common, is the income tax that they have to pay, based on the amount of money that they earn, the more money you earn, the more tax you are going to pay. The income tax is not required to be paid by people that are either in full time education or are under the age of 18.
That being said, there is a difference between salaries and wages. On one hand, salary is usually associated with the amount of money an employee will be receiving on an annual basis. For instance, the senior manager at Tesco might be earning a salary of approximately £63,000 per year. On the other hand, wage is usually associated with the amount of money that an employee receives based on how many hours he has worked during, which is then multiplied with the agreed hourly pay rate. For instance, an employee working as a cashier at Tesco will be getting £7.5/hr for 37.5hr per week.
All in all, the occupations that an employee might be having a wage are usually jobs such as working at low positions at large organisations, and the occupations that an employee might be having a salary are usually jobs at higher and more stable positions,…

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