Why new payroll methods are gaining popularity
The convenience economy continues to grow, and consumers expect more from their employers.
With traditional payroll, companies typically pay their employees after they have performed their work. For example, if paychecks are issued at the beginning of month, that money is compensation for the previous month/weeks of work. Hourly staff get paid for the exact number of hours worked in the previous pay period. On the other hand, salaried staff have a yearly compensation divided equally between all of the pay periods.
Salaried employees have the security of fixed paychecks and typically greater job protection. Salaried jobs are also more likely to include benefits, bonuses, and paid vacation time as part of the employee’s total compensation.
How people have been paid has evolved. The word salary originates from the Latin salarium, which has the root sal, or "salt." In ancient Rome, soldiers were given money to buy salt, an expensive but essential commodity. This is thought to be the first structured pay.