A wage is monetary compensation (or remuneration, personnel expenses, labor) paid by an employer to an employee in exchange for work done. 
Types of Wages
In real practice, wages are of many types as follows:
1. Piece Wages:
Piece wages are the wages paid according to the work done by the worker. To calculate the piece wages, the number of units produced by the worker are taken into consideration.
2. Time Wages:
If the labourer is paid for his services according to time, it is called as time wages. For example, if the labour is paid Rs. 35 per day, it will be termed as time wage.
3. Cash Wages:
Cash wages refer to the wages paid to the labour in terms of money. The salary paid to a worker is an instance of cash wages.
4. Wages in Kind:
When the labourer is paid in terms of goods rather than cash, is called the wage in kind. These types of wages are popular in rural areas.
5. Contract Wages:
Under this type, the wages are fixed in the beginning for complete work. For instance, if a contractor is told that he will be paid $50,000 for the construction of building, it will be termed as contract wages.
Concepts of Wages
1. Money Wages or Nominal Wages:
The total amount of money received by the labourer in the process of production is called the money wages or nominal wages.
2. Real Wages:
Real wages mean translation of money wages into real terms or in terms of commodities and services that money can buy. They refer to the advantages of worker’s occupation, i.e. the amount of the necessaries, comforts and luxuries of life which the worker can command in return for his services.