Deductions from Gross Pay of an employee

Deductions from Gross Pay of an employee refers to the amount withheld from employee's pay.

Deductions from Gross Pay are the following:

1. Withholding Income Tax
2. SSS or GSIS Premium
3. Phil-Health Premium
4. Additional Deductions
• Advances or Vales
• Union Dues
• Pension Fund
• Charitable Contributions
• Cooperatives / Credit Unions

Various Employee Pay: Bonus

Bonus is generally given as an incentive in order to stimulate the employees to work more efficiently and effectively. 

Various Employee Pay: Commission

Commission definition:

This is usually the wage given to sales people based on the amount of sales he/she made. 

Normally, this amount is added to the basic pay or basic salary of an employee. Or, on a separate payment basis depending on the commission scheme of the company.

Sometimes sales people earns solely on a commission basis.  

Various Employee Pay: Wage

Wage definition:

It is a fixed amount of compensation for service rendered covering a fixed period of time, usually hours or a fixed amount of work.

This usually is the compensation given to skilled and unskilled laborer. 

Various Employee Pay: Salary

Salary definition:

It is a fixed amount of compensation for service rendered covering a fixed period of time, typically a month.

Usually, this refers to the pay of those in the managerial level and administrative employees.  These employees do not earn any overtime pay.