What are compensation payments?


Salary composition

An employee's salary consists of the following elements:

  1. salary (official salary), tariff rate;
  2. compensation payments (additional payments and allowances of a compensatory nature);
  3. incentive payments.

The salary is established in the employment contract in accordance with the current employer’s remuneration system (piecework, time-based, mixed) and is not limited to the maximum amount.
Compensation payments included in wages:

  • for work in special climatic conditions
  • for work in areas exposed to radioactive contamination;
  • for the employee’s use of his or her tools or machinery in work;
  • for working under harmful or dangerous working conditions;
  • for working with information constituting a state secret;
  • for work in conditions deviating from normal (when performing work of various qualifications, combining professions (positions), overtime work, night work, etc.);
  • other payments provided for by the remuneration system.

The list of types of compensation payments in federal budgetary, autonomous, and government institutions was approved by Order of the Ministry of Health and Social Development of December 29, 2007 N 822.

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