Question

Differentiate between monetary and non-monetary factors affecting motivation.

Answer 1

Sr. No.	Basis	Monetary Factors	Non-Monetary Factors
1.	Meaning	Factors related to financial or economic rewards.	Factors related to psychological, emotional, or social needs.
2.	Nature	Tangible and measurable in monetary terms.	Intangible and cannot be measured in monetary terms.
3.	Examples	Salary, bonus, incentives, commissions, profit-sharing.	Job satisfaction, recognition, responsibility, and a good work environment.
4.	Focus	Focuses on fulfilling the basic and financial needs of employees.	Focuses on fulfilling emotional, social, and esteem needs.
5.	Timeframe of Motivation	Often provides short-term motivation.	Generally results in long-term and sustained motivation.
6.	Dependence on Employer Policy	Mostly based on formal company policies.	Often influenced by workplace culture and leadership style.