What does "salary" mean?

A salary is a fixed regular compensation amount employers give to their employees for their services. Employers generally deliver a salary as a paycheck on a weekly, bi-weekly or monthly basis. A salary is most often expressed as an annual sum of money and not as an hourly wage.

Salaries are most common with white-collar work and not as common with labor-intensive jobs where workers must clock in and out using time cards. While a salary is the dollar compensation amount an employee receives, it does not include other benefits, such as health insurance, vacation days, paid time off and other perks.