Summary Definition: Additional income or compensation employees receive in addition to their normal wages.
Supplemental income is extra money or gifts employees earn on top of their regular wages. It can come in the form of bonuses, stock options, or flexible benefits.
The key characteristic is that employers aren’t required to give supplemental income. They can use it to reward good work and attract top talent, but it’s ultimately their decision.
Employers can offer supplemental income in a variety of forms:
|Increased employee satisfaction with their job and the company overall
|Financial flexibility to spend, save, or invest money
|Improved productivity with more engaged and loyal employees
|Professional development opportunities or training that'll help with career advancement
|Reduced employee turnover with a happier workforce
|Retirement planning and savings for long-term goals
|Attract top talent due to better compensation and a motivated office environment
|Improved work-life balance from having more flexibility with managing time and priorities
In today's labor market, employees expect fair, competitive wages. Our Compensation Management tool can make it happen. Dig into compensation analytics and insights to inform salaries, merit increases, bonuses, and more. With continual data collection, feel confident you're always paying your employees accurately and fairly, while staying in alignment with your company's budget goals.