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gayaneshka [121]
4 years ago
7

What term refers to the total compensation that an employee earns before their employer deducts taxes and withholdings?

Business
2 answers:
ohaa [14]4 years ago
8 0

Answer:

The correct answer is Gross Pay.

Explanation:

The total compensation that an employee earns before their employer deducts taxes and withholding is know as Gross Pay.

When a person works for an organization, he receives salary in exchange of his work for the organization. The organization deducts taxes of the state and federal from his salary and then transfers his pay to his account. The salary of the employee, before the organization deducts taxes and withholding, is called as the Gross Salary or Gross Pay. The pay that person receives after deductions is called as the net pay or net salary.

NeX [460]4 years ago
7 0

"Gross pay"

Gross pay is <em>before </em>taxes and withholdings, net pay (aka take-home pay) is what is left over <em>after </em>taxes/etc are taken out.

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