This article discusses the advantages of transactional leadership style, which is one of the managerial leadership kinds that focuses upon the supervision and performance of employees in a workplace setting. The article explains how transactional leadership style emphasizes a relationship between employer and employees that is grounded upon rewards and targets. It also highlights how this leadership style can be useful when motivation and guidance are required by employees for task completion that requires clarity of work with minimal to no error. The article further explains how transactional leaders can facilitate employees to meet their obligations and targets which further helps human resource managers in predicting employee performance levels for job designing purposes.