When it comes to work, knowing what you’re really getting paid matters. But it’s not always just about your base salary.
That’s where the idea of total remuneration comes in.
Total remuneration meaning: it’s the full picture of all the rewards you receive as an employee. That includes your salary, bonuses, benefits, and sometimes even equity.
But what does total remuneration mean day-to-day? How does it affect your financial planning? And does it cover superannuation?
In this guide, we’ll answer these questions. We’ll also take a look at total remuneration packages in New Zealand.
Whether you’re in HR, running a business, or just want to better understand your own pay, this guide’s got you covered.
What is total remuneration?
Total remuneration covers everything you earn from your job.
It’s not just your base salary. It also includes bonuses, benefits, stock options and any extra rewards. This gives a much clearer view of what you actually take home.
Understanding total remuneration meaning is important if you want to attract and keep great people. Companies use it to put together strong packages that do more than just pay the bills. They show employees they are valued.
It’s not only about money either. Non-cash perks, like flexible hours or career development, can make a big difference in job satisfaction and loyalty.
In short, total remuneration is the full package. It includes both financial and non-financial rewards.
What’s included in total remuneration?
Your total remuneration usually includes:
Base salary – your fixed income.
Bonuses – extra pay for hitting targets or strong performance.
Benefits – like health insurance, paid leave or retirement savings.
Equity – stock options or shares in the business.
Non-monetary perks – flexible hours, extra training or wellbeing support.
These all add up to more than just your pay cheque. Benefits and equity, for example, can really set one job offer apart from another.
It’s important to know what’s in your package. Total remuneration isn’t just what lands in your bank account each month. It reflects your full earnings and extras.
Total remuneration vs salary: what’s the difference?
People often mix up remuneration meaning and salary.
Salary is simple. It’s the fixed amount you’re paid each year or hour.
Total remuneration includes your salary plus bonuses, benefits and perks.
If you focus only on salary, you might miss out on the bigger picture. Knowing your total remuneration helps you understand the full value of what you’re earning.
Does total remuneration include superannuation?
Yes, usually it does.
Superannuation is often part of the total package. Employers contribute to your retirement savings which adds value to your overall pay.
Including superannuation helps employees plan for the future and shows that the company cares about long-term wellbeing.
Superannuation in New Zealand total remuneration packages
In New Zealand, superannuation (usually through KiwiSaver) is a big part of total remuneration.
Most employers contribute to KiwiSaver, adding to the overall package. These contributions are required by law so they’re an important factor when looking at job offers.
Many people even negotiate KiwiSaver contributions as part of their pay discussions.
Why benefits and non-monetary perks matter
Benefits like health insurance, paid leave and retirement plans boost the value of total remuneration.
Non-cash perks such as flexible working, remote options and learning opportunities also matter a lot.
These extras can improve work-life balance, increase job satisfaction and help companies keep their best people.
Equity and stock options
Equity and stock options are especially popular in start-ups and tech companies.
They give employees a financial stake in the business which can be a strong motivator.
How to calculate and negotiate your total remuneration
To work out your total remuneration, add up:
Base salary
Bonuses
Benefits
Superannuation
Any other perks
When negotiating, research what’s standard in your industry and be clear about which parts of the package are most valuable to you.
An open chat with your employer can lead to a better deal for both sides.
Total remuneration packages in NZ: what to expect
In New Zealand, total remuneration might also include extras like more paid leave or added KiwiSaver contributions.
Knowing what’s normal in your industry helps you compare offers and make informed decisions.
Why understanding total remuneration matters
Knowing your total remuneration gives you a full view of what you earn, not just your salary.
This can help you make better career choices, plan financially and feel more confident about your pay.
For employers, offering strong packages can boost retention and attract top talent.
Understanding remuneration meaning in the broader sense benefits everyone, employees and businesses alike.
