Difference between salary and wages
Employees are paid on different bases. The type and scope of work and the related regulations in the employment and collective bargaining agreement always play a role. A difference between salary and wages is shown above all in the form of fixed and flexible remuneration.
Although in everyday language very often wages and salary When equated in terms of pay for work, there are major differences. Every form of remuneration for employees has its advantages and disadvantages.
Salary as a fixed remuneration
- If you are a permanent employee of a company, you will receive a fixed amount of money every month for your work, the salary. You should employment contract If you have signed with a temporary employment agency, you will always receive wages, even if you work in the commercial area.
- The weekly working hours and the amount of the salary are listed in the employment contract. Holidays or the respective calendar day working days lead to a different monthly one working time, This has no effect on the salary payments.
- As a salaried employee, you have to work overtime to a certain extent. Some of this may well be unpaid. If you have management responsibility in a company, this is expected of you as a matter of course.
- For normal employees, the rule applies that overtime is compensated for by free time. The employer cannot simply put you in vacation send. But you can't just stay away from work either.
Overtime is part of everyday working life in German offices. While senior ...
Wages - differences between hourly and performance wages
- The difference between salary and wages is shown above all in the fact that wage earners receive their wages on the basis of hourly wages or depending on the performance. As an employee, you are entitled to the amount agreed per working hour or unit of work in accordance with the provisions in the employment and / or collective bargaining agreement.
- Here, too, there are stipulations on weekly working hours. Working hours of 40 hours a week and eight hours a day are common.
- There is also a difference between salary and wages if the monthly working days vary. What is paid to you each month differs regularly. If a month has several public holidays, the number of working hours and thus the wages decrease.
- Salaried employees are usually paid overtime. Company and / or collective agreements can provide for special surcharges as well as accumulation on time accounts with subsequent compensation.
Regardless of the basic form, the respective gross wages are paid out as net wages after deduction of wage taxes and social security contributions. Taxation no longer distinguishes between the types of remuneration.
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