Cash Awards


DEFINITION of 'Cash Awards'

An award given to an employee or contestant in the form of cash. Cash awards can either be the only award option or taken in lieu of a tangible item.


Regardless of whether they are given to an employee as a reward for merit or to the winner of a contest, cash awards are always fully taxable as income.

Richard Hatch, the first winner of the game show Survivor, found this out the hard way, when he didn't claim his million dollar winnings on his tax return.

  1. Cash

    Legal tender or coins that can be used to exchange goods, debt ...
  2. Cash Wages

    Cash wages include any kind of compensation that comes in the ...
  3. Remuneration

    Payment or compensation received for services or employment. ...
  4. Cash And Cash Equivalents - CCE

    An item on the balance sheet that reports the value of a company's ...
  5. Employee Stock Option - ESO

    A stock option granted to specified employees of a company. ESOs ...
  6. Sticky Wage Theory

    An economic hypothesis theorizing that pay of employees tends ...
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