What Is an Annual Wage?

The annual salary is a Chinese word, and the pinyin is nián xn, which refers to the annual fixed salary. The annual fixed salary is the "guarantee" income of the operator. It is not linked to the performance of the enterprise, but is mainly determined based on the individual ability of the operator, the level of social consumption, and the difficulty of the enterprise.

Annual salary

[1] Annual salary = monthly salary X month + dividends, etc.

[2] Annual salary = daily salary X working days + year-end bonus, etc.

Annual pay / Annual salary

The annual salary should include the following six parts:

1. Annual fixed wage. The annual fixed salary is the "guarantee" income of the operator. It is not linked to the performance of the enterprise, but is mainly determined based on the individual ability of the operator, the level of social consumption, and the difficulty of the enterprise. The annual fixed salary is of the nature of "remuneration according to work". After the specific amount is determined at the beginning of the year, it is paid monthly in cash.

Annual

The annual salary is the basic guarantee for the implementation of incentives. The monthly payment based on the annual fixed compensation amount is the same as the monthly salary. There are three main reasons for the annual salary to be paid to the operator:

First of all, the operator is also a laborer, so it is reasonable for the operator to realize the income power of the labor property rights it owns in the labor market, and the realization method should be equal to the compensation income of other employees;

Second, there is a certain amount of corporate income

Model A: Quasi-civil service

Compensation Structure: Base Salary Pension Plan

Remuneration amount: It depends on the nature and scale of the enterprise to be managed and the executive level of the senior management staff. The general base salary should be 2-4 times the average salary of employees, and the pension level after normal retirement should be four Times more.

Model B: Package type

Compensation structure: single fixed-quantity structure

Amount of compensation: relatively high, linked to annual business goals.

Model C: Non-shareholding diversification

Compensation structure: risk income (benefit income and bonus)

Model D: diversified holdings

Compensation structure: Basic salary allowance pension plan includes risk income in the form of equity, stock options, etc.

Amount of compensation: The base salary depends on the difficulty and responsibility of the business, including risk income in the form of equity, stock options, etc., depends on its operating performance, the company's

At a glance, the job opening is based on individual expectations for annual salary, region, industry and other factors to make job recommendations, reduce barriers to job promotion, address the need for rational job search, and ensure job seekers achieve promotion and salary increases in the shortest possible time. This service has become one of the important channels for more and more mid- to high-end talents to switch jobs and get higher annual salary.

risk

Become an Excuse for Wages

Be an excuse for a pay cut

Become a means of evasion

Restriction weight

Glossary:

Take a long operating cycle (usually a year) as the unit, determine the compensation plan according to this cycle, and pay the salary and incentive system of human capital participation distribution based on personal contributions and corporate operating results. From the perspective of human resources, the annual salary system is an effective incentive measure and has a great effect on improving performance. The annual salary system breaks the rules of salary agencies. For senior managers, the annual salary system represents the status and status, which can promote the construction of talents and increase the enthusiasm of the annual salary person. However, a large part of the salary is linked to my own efforts and the good or bad situation of the company's operations, so it also has greater risks and uncertainties. ^[1]