Which term describes a wage based on the amount of time worked?

Which term describes a wage based on the amount of time worked?

• A. Hourly
• B. Salaried
• C. OASDI
• D. Overtime

Answer: (A)

Wages tied to the amount of time worked are described as hourly. The idea is simple: you’re paid for each hour you work, usually at a stated hourly rate, so total pay equals hours worked times that rate. For example, 40 hours at $15 per hour equals $600 (before taxes). This is different from salaried pay, which is a fixed amount per pay period regardless of hours, and from overtime, which is extra pay for hours beyond the standard work period. OASDI is not a wage term at all; it refers to Social Security taxes and benefits.

Wages tied to the amount of time worked are described as hourly. The idea is simple: you’re paid for each hour you work, usually at a stated hourly rate, so total pay equals hours worked times that rate. For example, 40 hours at $15 per hour equals $600 (before taxes). This is different from salaried pay, which is a fixed amount per pay period regardless of hours, and from overtime, which is extra pay for hours beyond the standard work period. OASDI is not a wage term at all; it refers to Social Security taxes and benefits.