The Base Wage Rate, often known as the base salary or base pay, refers to the fixed monetary compensation that an employee receives for their normal working hours and duties. It is the basis of an employee's complete pay package and is usually decided by criteria such as job function, experience, and market norms. The basic wage rate is often represented as an annual or hourly sum.
Example
A software engineer's base salary is $80,000 per year. This implies that, regardless of overtime, bonuses, or incentives, the engineer is guaranteed this amount every year for performing their main work responsibilities.
