The national average wage index (AWI) is based on
compensation (wages, tips, and the like) subject to Federal income taxes, as reported
by employers on Forms W-2. Beginning with the AWI for 1991, compensation includes
contributions to deferred compensation plans, but excludes certain distributions from
plans where the distributions are included in the reported compensation subject to
income taxes. We call the result of including contributions, and excluding certain
distributions, net compensation. The table below summarizes the components of
net compensation for 2013.