What is "Wage"? - The Maryland Guide to Wage Payment and Employment Standards - Employment Standards Service-Wage and Hour Information
Skip to Main Content

What is "Wage"? - The Maryland Guide to Wage Payment and Employment Standards

A “Wage” is payment or compensation earned by an employee for work performed under an employer's direction, or with the employer's knowledge or consent. Generally, wages are paid as currency (U.S. Dollars) representing a length of time worked, but may also include the following:

  • Bonus. This could include a monetary reward for finishing a special project or completing a length of employment.
  •  
  • Commission. This is usually a portion of the sale price of some commodity or service which the employee has sold on behalf of the employer, or some promised amount of money as a reward for making the sale.
  •  
  • Fringe Benefit. This could be many things, but often involves some accrued or accumulated compensation such as vacation ("annual") leave, sick leave, or other promised benefit.
  •  
  • Overtime
  •  
  • Any Other "Remuneration" (compensation) promised for work performed. Examples could include room and board, materials and inventory, etc.