What is typically referred to by the term "wage"?

The term "wage" commonly refers to the money paid to an employee per hour worked. This compensation structure is typically used for hourly workers who earn a specified amount for each hour they dedicate to their job. This payment model highlights the relationship between the time worked and the remuneration received, distinguishing it from other compensation forms like salaries, which are often paid annually regardless of the hours worked.

In this context, a salary usually describes a fixed compensation paid to employees on an annual basis, which does not change with the number of hours worked. Return on investment pertains to financial gains from investments rather than employee earnings. A bonus, while a form of additional compensation, is usually contingent on performance and is not part of the regular wage or pay structure for time worked. Thus, the definition of wage most precisely aligns with the concept of hourly payments to employees.