What is defined as the computation of benefits under Republic Act No. 1161 and Presidential Decree No. 1146?

What is defined as the computation of benefits under Republic Act No. 1161 and Presidential Decree No. 1146?

• A. Wages or Salary
• B. Compensation
• C. Medical benefit
• D. Income benefit

Answer: (A)

The correct answer is compensation, as defined under Republic Act No. 1161 and Presidential Decree No. 1146. Compensation encompasses all forms of remuneration paid to an employee for services rendered, including regular wages or salary, bonuses, incentives, and other benefits. In the context of these laws, which relate to social security and insurance, it specifically refers to the amount used to compute benefits such as pensions, disability benefits, and other forms of assistance provided under the social security system. Wages or salary, while an important aspect of compensation, only represent a portion of the broader category that includes various other types of financial remuneration. Medical benefits and income benefits are also specific types of benefits derived from compensation, but they do not encompass the entirety of the computation for benefits as outlined in the relevant laws. Therefore, compensation is the term that accurately captures the full scope of what is considered in the computation of benefits under these legislative acts.

The correct answer is compensation, as defined under Republic Act No. 1161 and Presidential Decree No. 1146. Compensation encompasses all forms of remuneration paid to an employee for services rendered, including regular wages or salary, bonuses, incentives, and other benefits. In the context of these laws, which relate to social security and insurance, it specifically refers to the amount used to compute benefits such as pensions, disability benefits, and other forms of assistance provided under the social security system.

Wages or salary, while an important aspect of compensation, only represent a portion of the broader category that includes various other types of financial remuneration. Medical benefits and income benefits are also specific types of benefits derived from compensation, but they do not encompass the entirety of the computation for benefits as outlined in the relevant laws. Therefore, compensation is the term that accurately captures the full scope of what is considered in the computation of benefits under these legislative acts.