What does compensation mean?
Compensation is the total cash and non-cash payments that you give to an employee in exchange for the work they do for your business.
Compensation is more than an employee’s regular paid wages.
It also includes many other types of wages and benefits.
Types of compensation include: Base pay (hourly or salary wages).
How do you use compensate?
Compensate sentence examplesThese advantages compensate for the greater first cost. … Water-power and petrol largely compensate for the lack of coal. … He might thus compensate for his numerical inferiority by superior mobility and superior leadership.More items…
What is the best synonym for compensate?
Synonyms & Antonyms of compensateindemnify,recompense,recoup,remunerate,requite,satisfy.
Does compensation always mean money?
Compensation can also be money, a payment meant to give someone a fair exchange for their effort and output. In fact, the word comes from the Latin word compensat-, meaning “weighed against.” If you receive fair compensation for your work, the money is equal to your time and effort.
What is compensation with example?
The definition of compensation is something of value given in exchange for something else. The money a company pays to its employee to do work is an example of compensation. When a person gets into a car accident and injures someone, the money he pays to the injured victim for his losses is an example of compensation.
What are the four types of compensation?
The Four Major Types of Direct Compensation: Hourly, Salary, Commission, Bonuses. When asking about compensation, most people want to know about direct compensation, particularly base pay and variable pay. The four major types of direct compensation are hourly wages, salary, commission and bonuses.