Okuzeka
Accounting & Tax vocabulary · Payroll & Employee Costs

Gross pay

Meaning in accounting & tax, with examples

nounCore term

In accounting & tax, gross pay means: An employee's total earnings for a period before income tax, social security and other deductions are taken off.

In Turkish: brüt ücret, brüt maaş

How it is used

Shown at the top of a payslip. Gross pay includes basic salary, overtime, bonuses and allowances. In many countries job offers quote a gross annual salary.

Example sentences

  1. Her gross pay is 80,000 lira a month, but she takes home much less after deductions.

  2. Overtime is added to gross pay before tax is calculated.

Common collocations

  • gross salary
  • gross annual salary
  • gross earnings
  • calculate gross pay
  • net payThe amount an employee actually receives after income tax, social security contributions and other deductions have been subtracted from gross pay.
  • payslipA document given to an employee each pay period showing gross pay, each deduction such as tax and social security, and the final net pay.
  • payrollThe process of calculating and paying employees' wages, including tax and social security deductions, and also the total amount a company pays its staff.
  • withholding taxTax that the payer deducts from a payment, such as a salary, rent, dividend or freelance fee, and pays to the tax authority on behalf of the person being paid.
  • social security contributionsCompulsory payments by employers and employees, calculated on wages, that fund pensions, health care and other social benefits.

This word in other fields

The same English word can have a different meaning in another field:

More terms: Payroll & Employee Costs

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This page explains English vocabulary for learners. It is not financial advice.