Total Employee Compensation Package

Employment Basics

The cost of an employee is more than their salary. Hiring an employee often involves paying a portion of their social security, medicare and unemployment taxes. Many companies offer benefits in terms of various insurance programs, where the company may pay a portion of the cost, contributions to retirement plans or pensions and other fringe benefits that add to the hiring cost. When looking employee compensation, its important to look at all of these costs rather than just the direct salary.

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