Work and Pay Flashcards
Salary
pay as an annual total, no overtime is paid
Wage
pay calculated on an hourly rate multiplied by hours worked, overtime is payable after hours of work have been met
Commission
payment for achieving a certain target e.g. a level of sales
Overtime payment
higher rate of pay for work in excess of normal hours normally paid at 1.5 time’s normal rate
Shift work
work patterns that do not follow standard working hours, e.g. a nurse may work: morning shift, afternoon shift, evening shift, nights
Bankers Automated Clearing Service (BACS
automatic transfer of funds between bank accounts e.g. employers to employees
Fringe benefits
workers are paid in other ways other than by money
Expenses
payment given to workers to compensate for any expenditure necessary to complete the work. E.g. travel expenses for a conference or training day
Gross pay
a workers pay before deductions for Tax, national Insurance, and pensions
Net pay
pay after deductions (take home pay)
Income tax
tax calculated as a percentage of a workers income e.g. 20% of income
Tax code
workers have different tax cods which relate to the different amount of tax – free allowance a worker might get
National Insurance Contributions (NIC)
a tax paid by workers which entitles the worker to qualify for benefits when needed e.g. Job Seekers Allowance
Pension Contributions
deductions from pay that contributes to a pension
P45
a document provided by an employer when an employee leaves their job
