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Differentiate between salary and wages?

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Question added by Abdul Rahim Said Rahim , Senior Executive - Business Development , Al Ruwais Plastic Products Trading LLC
Date Posted: 2013/06/22
Tahir Mahmood
by Tahir Mahmood , Freelance Accountant , Mazdoo Accounting

Salary is the amount which an employ receive monthly, it is fixed amount paid to employ monthly.
Wages is normally based on daily or hourly basis and can vary month to month

manaf almas
by manaf almas , Auditor , DAR AL NUZUM PUBLIC ACCOUNTANTS

salary is paid on monthly basis and its fixed amount / month ,it does not depends on how many hours worked or how much output,but wages is nOrmally paid on daily basis ,its based on daily hours or out put etc...salary is an expenses comes under profit & loss account debit side ,,wages has2 nature as direct wages and indirect wages ,direct wages treated as direct expense so it will comes in trading account indirect wages treated as indirect expense so it will appear on profit & loss A/C

okenna obi
by okenna obi , MANAGER/ COORDINATOR , HENZOF NIGERIA LIMITED

Salary is paid to "exempt" employees.
These are people who do not have to account for the hours they put into the job; rather they are paid to get the job done.
They still have to account for holidays, sick days and vacation days, just not the individual hours.
Often they get bonuses or other incentives since these jobs are largely management, sales or project related.
Wages are paid to "non-exempt" or "hourly" employees.
These people account for their time on a time card or other record keeping system.
Depending on the company, they may earn overtime for extra hours, or be expected to take time off to offset any late hours within the same time period.
Usually the employee has to have worked a full40 hour week to earn overtime.
By the way, the employer does not have the right to amend a time card without employee permission/initial.
Answer: A Wage is, as mentioned, an amount paid per hour.
A salary is a fixed amount of pay per week or month (usually paid semi-monthly).
A yearly pay is known as an annual amount or annual pay.
Minimum wage as of July15,2009, is $7.25 per hour.
Salary is paid notwithstanding the amount of hours to usually Management employees.
He gets paid $10 per hour.
(wage) He gets paid $600 a week.
(Salary) He gets paid a salary of $4,500 per month.
His wages, with all the hours he works, totals an average pay of $4,500 a month.
His annual earnings are about $55,000 per year.
I earn six-figure income.
The problem is that two of them are behind the decimal point! Other forms of income include piecerate and daily pay (such as for a taxicab driver).
Unearned income are normally called benefits or pension benefits.

The difference between a Salary and Wages is that a Salary is paid periodically.
It is a fixed periodical payment paid to a person for regular work or services while Wages are commonly paid per unit (mostly per working hour).
A wage is usually paid by the day or week for work or services which are of a more irregular nature.

SALIK RAFIQUE
by SALIK RAFIQUE , GM FINANCE , SWISS PRO MANUFACTURING CO.

Salary is the amount that an employee receive after one month and wages are the amounts that are based on Per hour or Per piece rate .

Kripesh Krishnan Kutty Nair
by Kripesh Krishnan Kutty Nair , Merchandiser , Al Seer Group

Considering accounting, Salary and Wages are expenses.
But Salary comes under Indirect expense and Wages comes under Direct Expense.
Because Wages is directly related to production

Mahmoud Ghazi
by Mahmoud Ghazi , Sr. Supervisor Budget & Analysis , Orange

Salary is being paid upon a predetermined amount of days, weel, bi-month, month, quarter , semi annual or annual.
it's not connected directly to the number of hours or the productivity.
On the other hand we have wages which are being paid as a rate either per hour or per unit of production.

Akinwande Abdulmaliq Atanda
by Akinwande Abdulmaliq Atanda , Business Developer and Macroeconomic Analyst , Globafrique Consulting Inc.

Salary is the return or price paid an employee for accumulated work performed within a specified period of time usually weekly or monthly by an employer irrespective of the number of hours used in executing the task.
On the other hand, wages is the price for an employee time or hours invested in carrying out a specific task that is time dependent.
It is usually paid based on the number of hours spent in executing the delegated task or based on the successful completion of the task.
It is often calculated as: WAGES = Hours worked X cost per hour or WAGES = Price per task X number of task completed

Arash Lajevardi
by Arash Lajevardi , National Sales And Marketing Manager , Bastan group

people who get paid a "salary" get their money monthly, and get the same amount each month.
A salary usually doesn't change based on the number of hours you work but if you get paid a wage, it usually means that you get a certain amount per hour.
The more hours you work, the more money you will make.

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