Total compensation includes both the cash and benefits employees receive in exchange for their work. Examples of cash compensation include base salary, cost of living adjustments, overtime pay, lump sum payouts, vacation and holiday pay, sick leave cash-outs, and other cash incentives that may be available. Examples of benefits include the cost of medical, dental, vision and prescription coverage for employees and their dependents, commute incentives, deferred compensation and defined retirement benefits plans, life insurance, long and short-term disability, training and education benefits.