What is Compensation and Benefits?

Compensation and benefits are a combination of monetary and non-monetary rewards that an employee can receive by working in a particular company. Compensation includes all monetary elements that add financial value, such as salary, bonuses, commissions, and wages. Benefits include all non-monetary value elements, such as additional perks like free tea and coffee, a paid gym membership, insurance, and more. Compensation and benefits can also be referred to a separate department that manages the calculation, distribution, and monitoring of the company's rewards.