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Total cash


It refers to all fixed and variable pay received by an employee during one year.



Total Cash = Fixed Pay + Short term variable pay



Example:

Let's say we have an employee that received last year the following gross amounts:

  1. Basic pay (salary) per month - 1000
  2. Christmas bonus - 1000
  3. Performance bonus - 2000 - twice a year
  4. Sales bonus - 3000 - once a year
  5. Meal vouchers - 300 per month

Elements that are considered to be part of Total cash: basic pay, Christmas bonus, performance bonus, sales bonus.


Total cash = (1000 x 12) + 1000 + (2000 x 2) + 3000 = 20000



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