Hi, May i know the exact difference between these two terms? 1) Salary 2) Compensation. Please through your inputs and give your suggestions. Thanks & Regards, Saravanan
From India, Madras
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From India, Madras
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I have a rough view. Maybe it is as follows:
Salary
Salary is a contractual amount an employee receives when they enter into a contract with the employer for the services rendered to the company where they work.
Compensation
Compensation is an amount received by an employee as condolence or help for some misfortune or mishap that occurred while working, either in the company or for the company.
Regards,
Nishant
From India, Delhi
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Salary
Salary is a contractual amount an employee receives when they enter into a contract with the employer for the services rendered to the company where they work.
Compensation
Compensation is an amount received by an employee as condolence or help for some misfortune or mishap that occurred while working, either in the company or for the company.
Regards,
Nishant
From India, Delhi
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Understanding Salary and Compensation
Salary is received in return for the services rendered by an employee to his/her organization. It is a monetary benefit given to an employee to motivate them.
On the other hand, compensation is a broader term that not only includes monetary benefits like salary but also covers all non-monetary benefits such as perks, time off, etc.
In short, compensation encompasses all the monetary and non-monetary benefits received by an employee from their employer.
From Pakistan, Karachi
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1Salary is received in return for the services rendered by an employee to his/her organization. It is a monetary benefit given to an employee to motivate them.
On the other hand, compensation is a broader term that not only includes monetary benefits like salary but also covers all non-monetary benefits such as perks, time off, etc.
In short, compensation encompasses all the monetary and non-monetary benefits received by an employee from their employer.
From Pakistan, Karachi
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Employee Benefits.doc