remuneration / compensation / tempering
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remuneration
Financial payment for work performed, a service, or the use of rights. This can be a salary, a fee, or a royalty.
Die Vergütung für den Auftrag wird nach Abschluss des Projekts ausgezahlt.
The remuneration for the assignment will be paid out after the project is completed.
The word is derived from the adjective 'gut' (good). The basic idea is to make something 'gut' (good): through payment for work, through compensation for damage, or through the qualitative improvement of a material.
Er fordert eine bessere Vergütung seiner Arbeit.
He is demanding better remuneration for his work.
'Vergütung' is a formal word that is often used in contracts, business correspondence, and official documents. It belongs to formal written language and professional life.
Im Arbeitsvertrag ist die genaue Vergütung der Überstunden festgelegt.
The exact remuneration for overtime is specified in the employment contract.
You can recognize the meaning from context: in professional life, it refers to payment. In the case of damage or delays, it refers to compensation. In connection with metals such as steel, it refers to the technical process.
Die Vergütung für die Dienstreise erfolgt nächsten Monat.
The compensation for the business trip will be paid next month.
In the context of payment, 'Vergütung' is often combined with adjectives such as 'angemessen' (appropriate), 'leistungsgerecht' (performance-based), or 'zusätzlich' (additional). People also speak of the 'Vergütung von Überstunden' (remuneration for overtime).
Alle Mitarbeiter erhalten eine zusätzliche Vergütung für ihre Mehrarbeit.
All employees receive additional remuneration for their extra work.
commission
'die Kommission' and 'die Vergütung' can both have to do with money for work or a service. In this meaning, however, 'Kommission' refers to a special type of payment: usually a percentage share for a sale or an arrangement. 'Vergütung' is more general and means payment for work, a service, or rights. The words can be confused because a commission can also be a form of remuneration. But not every form of remuneration is a commission. If someone gets money for a successful sale, 'Kommission' is precise. For payment in general, 'Vergütung' fits better.
Frau Becker hat die Vergütung für den zusätzlichen Kurs erhalten.
Ms. Becker received the payment for the additional course.
Der Verkäufer bekommt für jeden Vertrag eine kleine Kommission.
The salesperson gets a small commission for each contract.