Explain the differences between hourly wage, salary, contract wage, and commission wage.

Hourly wage: The amount of money per hour that an employee will be paid. Usually eligible for overtime pay.

Salary: The set amount of money per year that an employee will be paid, regardless of hours worked. Usually not eligible for overtime pay.

Contract Wage: The set amount of money an employee will receive for completion of a project (contract).

Commission: The amount of money that an employee will receive based on their work completed or sales made. For example, 5% of their total sales for the month will be paid to them as their wage.