What is a fee paid to an employee for completing a task called?

The fee paid to an employee for completing a specific task is referred to as commission. This is often seen in sales roles where an employee earns a percentage of the sales they generate. Commission incentivizes employees to perform at a high level since their earnings are directly tied to their output, motivating them to achieve and exceed targets. This structure aligns the interests of the salesperson with those of the business, as higher sales lead to higher commissions.

In contrast, the other terms highlight different forms of compensation: a salary is a fixed regular payment regardless of tasks completed, piece work refers to payment for each unit produced or completed and can relate to different industries and job roles, while equity typically refers to ownership stakes in the company rather than direct compensation for tasks performed. Thus, commission is the most accurate term for the payment specifically linked to completing tasks, particularly in sales contexts.