Question

What is indirect wages

Answer 1

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Direct labor describes workers that are directly involved in the production of goods or the performance of services. For example, workers at a factory who assemble, machine, paint or otherwise help to physically produce products perform direct labor. Similarly, workers at a salon who actually perform haircuts, treatments and other services are involved in direct labor. The cost of paying wages to workers involved in production is a business's direct labor cost.

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Answer 2

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Indirect salaries and wages are the second form of compensation from an employer to an employee. They do not directly benefit the firm and are not paid to an employee for services provided. Examples of indirect salaries include paid time off, training, health insurance and retirement contributions...