A salary refers to a consistent, predetermined amount of compensation paid to an employee in exchange for the work they perform for their employer.
Understanding Salary in the Workplace
The term “salary” typically describes a fixed annual amount paid to employees, most often those in exempt, non-hourly roles. This means their earnings do not fluctuate based on hours worked but are instead distributed on a regular schedule, such as weekly, biweekly, or monthly.
In addition to describing the payment itself, “salary” is also commonly used to refer to the category of employee, as in “salaried employees” versus “hourly workers.”
While salary structures can vary between organizations, companies that use Beyond often rely on automated payroll tools to ensure accurate and timely distribution of salaries alongside compliance with labor regulations.