An employee earnings record is a record of how an employee’s pay is calculated, for each pay period during the year, with a running year-to-date total.

A Payroll Register (sheet): is the list of employees of a business along with each employee’s gross earnings; deductions and net pay (take home pay) for a particular pay period. The payroll register (sheet) is prepared based on attendance sheets, punched (clock) cards or time cards.

A payroll register is a hard copy or electronic spreadsheet listing important employee payroll information for specific payroll periods. Extended Definition. A payroll register helps employers keep track of employee payroll information conveniently.

The payroll register connects directly to the employees’ earnings records. The employees’ earnings records are the link between accounting and human resources and contain information from the payroll register. Payroll transactions are recorded in the General Journal and posted to General Ledger accounts.

A payroll register does not include information about employer taxes. Employer contributions for Social Security and Medicare taxes. Federal unemployment tax. State unemployment tax.

Base salary vs. An employee’s base pay does not include compensation that might raise the wages above the base level. For example, bonuses, overtime, and commissions are not part of base pay. These types of pay are included in the employee’s total compensation.

Click to jump to any of the common types of payroll withholdings covered in this article:

• Federal Income Tax.
• State Income Tax.
• Social Security (FICA)
• Medicare Tax (FICA)
• Insurance Policies.
• Retirement.

Indirect compensation includes non-monetary benefits provided to workers, such as pension funds, mobile phones, company cars, health and life insurance, overtime pay, and annual leave. In fact, it includes everything from legally obligated health insurance to social security, child care, and more.

Indirect compensation is a non-monetary benefit provided to employees in addition to their salary. These benefits are important because they can help companies in attracting and retaining talent.

What is Non-Monetary Compensation? Non-monetary compensation is defined as any compensation rewarded to an employee in a non-cash form. On a simple level, that could mean a trip awarded to “Salesperson of the Month,” where the award has a value but is not paid out as additional cash their paycheck.

Your Current Compensation Is Determined by These Factors Compensation is defined as the total amount of the monetary and non-monetary pay provided to an employee by an employer in return for work performed as required. These components are encompassed when you define compensation.

The goals of compensation are to attract people to work for your organization and to retain people who are already working in the organization. Compensation is also used to motivate employees to work at their peak performance and improve morale.

If you’re considering creating a salary structure, here are a few tips to help you get started.

1. Establish value for each position in your company.
2. Consider your company’s competitive posture.
3. Define compensable leverage for your company.
4. Look at external inequalities.
5. Develop a salary structure for your organization.

Salary structures are an important component of effective compensation programs and help ensure that pay levels for groups of jobs are competitive externally and equitable internally. Most companies with formal base salary structures review their structures annually.

It’s also a useful tool to motivate teams to meet and exceed the goals that will result in achieving those higher pay tiers. A compensation structure can attract good workers to your organization, too.

They help make sure that the pay levels are externally competitive and internally fair. Salary structures also allow companies to reward performance and development while controlling cost. Well-designed salary structures will attract highly skilled people to your company and keep them motivated within the organization.

A compa-ratio is one of the most common metrics for pay. Simply stated, a compa-ratio compares an individual employee’s salary to the midpoint of a given salary range. This easy-to-calculate statistic can be used in many ways to guide decisions about compensation on your campus.

A pay scale (also known as a salary structure) is a system that determines how much an employee is to be paid as a wage or salary, based on one or more factors such as the employee’s level, rank or status within the employer’s organization, the length of time that the employee has been employed, and the difficulty of …

Pay grades provide a framework for compensation by defining the amount of pay available at each step in the employment process. Pay grades take the place of salary negotiation, particularly in public sector employment where fairness trumps contribution. Pay grades are also typical of union-represented positions.