Question

Payroll. Canada.

In order to accurately calculate an employee's pay, it is important that payroll clearly understands the different types of employee remuneration. In your own words, list and define the four categories of employment income, such as earnings, allowances, benefits, and expense reimbursements, providing an example (other than regular pay) for each category.

Answer 1

Earnings typically refer to after tax net income earnings and the main dominant of share price because earnings and the circumstances relating to them can indicate whether the business will be profitable or successful in the long run earnings are perhaps the single most studied number in companies financial statement because they show a company's profitability compared to analyst estimates and company guidance. Earnings are the amount of profit that a company produces during a specific period which is usually defined as a quarter or year every quarter analyst wait for the earnings of the company they follow to be released earnings are studied because they represent direct link to companies performance a company that beats estimates in outperforming its peers does the COE will be praised and the board will Pat itself on the back. There are different measures and uses of earnings some analyst like to calculate earnings before taxes this is referred to as pre income earnings before taxes or EBT. The net after tax earnings of a company are calculated by deducting such factors as operating expenses cost of sales taxes and the like for example a company ABC releases information that a names for the third quarter has raised from 10 lakh dollar to$20 lakh .

tax free amount subtracted from income to arrive at taxable income amount deducted from invoice as an incentive for a larger order or to compensate the buyer for an expense . Money that you are regularly given Especially to pay a particular thing The Perks of a job include a company pension and generals travel allowance I couldn't have manage to college if I had not had allowance from my parents that is the real meaning of allowance. The amount of something that is permitted specially within a set of regulations on specified purpose in a specified time a sum of money paid regularly to a person to meet his needs and expenses.

The advantage profit gain from something a payment made by the state or an Insurance Scheme to summer entitled to receive it benefit here means the benefit that the employees receive such as health benefits medical benefits during the term of their employment and after employment provided by certain companies like Tata Steel other benefits could be the canteen facilities the subsidised foods available to the employees in the canteen and within the premises of the company the tours and travels benefits the tours and travel concession and the different travel plans by the company to the Employees and their families is known as a benefit.

Expense reimbursement is a method for pain employees back when they spend their own money for the purpose of business related expenses these expenses generally occur when an employee is travelling for business but can also occur in work related situation expense reimbursement is the case when an employee has spend the amount for the behalf of company and then the employee claims with the proper invoices and payment slip to the company saying for the purpose for which the employee has paid the company then gives back that amount to the employee reimbursing the amount. Reimbursement expenses can we travel expenses driver expenses petrol expenses food expenses. Popular now our company credit cards that are interested to people who are senior level employees and two other companies who must frequently travel for business instead of paying for expenses with their own money and blocking their own money for a particular period of time for the purpose of the Welfare of the company employees charge all but incidental and tips to the company credit card this is a convenient approach to expense reimbursement for the employee as the credit card bills document the exact expense without the employee having to save receipts and fill out travel expense reports. The best example of the expense reimbursement is that a team is working overnight for a company since 2 days the senior manager ordered the dinner for all the employees for that night the expenses were paid by the senior manager the senior manager would later reimburse the expenses from the company incurred by him at dinner. Similarly if somebody is travelling to attend a meeting of a company he will book his tickets by his own and then keep the payment and then keep the payment receipt slips and he shall get his money by the reimbursement. By showing appropriate bills and payments slips