There is much previous economic research that addresses formal cash and equity compensation in the United States of America (U.S.) companies, but less is known about international compensation, non-cash compensation, and informal compensation. This paper describes compensation practices in three Thai companies of various sizes and industries. The research finds that Thai companies pay in a variety of goods and services, either because the goods or services are legally required or help improve production and employee morale, or because there is a cost advantage for the companies in providing them to a large number of employees. Non-cash compensation is also paid to attract candidates and retain employees. In addition to cash compensation and fringe benefits, which are paid formally in accordance with employment contracts or company policy, some employees also receive informal payments. The research finds that informal compensation is paid to motivate and to reward good performance, and that the companies pay informally because this method of remuneration is more flexible. Furthermore, the research finds that ‘seniority’ pay is also used to reward performance, and suggests that it may not be true that pay for performance seems less prominent than seniority pay in Asian countries (in contrast to the situation in Western countries). Researchers may need to be careful in the interpretation of ‘seniority’ pay in Asian settings. Finally, the research suggests that practitioners should consider the prevailing management style and the performance evaluation method used when they design compensation packages.