Cash Wages

Dictionary Says

Definition of 'Cash Wages'


Cash wages include any kind of compensation that comes in the form of spendable money. Cash wages can include actual cash currency, any kind of check and money orders. This type of compensation excludes stock and stock options, insurance and fringe benefits.

Investopedia Says

Investopedia explains 'Cash Wages'


Cash wages are always reported by the recipient as ordinary income. Wage earners must pay taxes out of these wages, regardless of how it is paid out. Employers must withhold payroll taxes and report employee wages. Some workers and employers pay cash wages 'under the table' to try to avoid the payroll taxes, but it is illegal to do so.

comments powered by Disqus
Hot Definitions
  1. Closed-End Fund

    A closed-end fund is a publicly traded investment company that raises a fixed amount of capital through an initial public offering (IPO). The fund is then structured, listed and traded like a stock on a stock exchange.
  2. Payday Loan

    A type of short-term borrowing where an individual borrows a small amount at a very high rate of interest. The borrower typically writes a post-dated personal check in the amount they wish to borrow plus a fee in exchange for cash.
  3. Securitization

    The process through which an issuer creates a financial instrument by combining other financial assets and then marketing different tiers of the repackaged instruments to investors.
  4. Economic Forecasting

    The process of attempting to predict the future condition of the economy. This involves the use of statistical models utilizing variables sometimes called indicators.
  5. Chicago Mercantile Exchange - CME

    The world's second-largest exchange for futures and options on futures and the largest in the U.S. Trading involves mostly futures on interest rates, currency, equities, stock indices and agricultural products.
  6. Private Equity

    Equity capital that is not quoted on a public exchange. Private equity consists of investors and funds that make investments directly into private companies or conduct buyouts of public companies that result in a delisting of public equity.
Trading Center