Dwijen Patel

Beyond strictly financial considerations, there are many other important factors that impact the competitiveness of your total offering to current and potential team members. These components of your company’s “package” can be just as important as moderate amounts of cash compensation on the margins. 

A compensation philosophy is one of the key elements of a thorough compensation management plan. A well designed compensation philosophy describes a company's approach to determining and providing pay and benefits to its employees. It also serves as a framework for how the company rewards its employees for the contributions that they make to the organization.

Total compensation or “TC” as it’s colloquially (and somewhat sarcastically) referred to across the tech industry, is a term referring to the sum total of all of the monetary compensation that an employee receives in a given year. In tech company circles, it has become a common term that allows employees at different companies to compare their compensation and determine whether they’re being paid a market rate.