Total Remuneration
Total remuneration is the sum of an employee’s annual compensation package including basic salary, incentives, commissions, and all financial and non-financial benefits. Total remuneration is taxable income and thus the employer must withhold income taxes and other payroll taxes. Total Remuneration includes;
- Basic Salary
- Incentives
- Bonuses
- Stock options
- Pension plans
- Financial benefits
- Non-financial benefits
There are two types of remuneration; direct and indirect. Direct remuneration includes financial benefits and indirect remuneration includes non-financial benefits such as insurance, child care assistance, educational opportunities, etc.
