Hi HR gurus, I want to know the difference between bonus and sales incentives. Can you clarify is a bonus is being declared in a company, can it exclude the sales people as the latter already get sales incentives? Thanks!
From United States, Newport Beach
1From United States, Newport Beach
Hi dear, Bonus and incentives is two different things. 1. For bonus there is act known as Payment of Bonus Act 1967 but there is no specific act on incentives( if we leave wages act , compensation act etc.) 2. Bonus is in money form only but incentives can be monitory and non non-monitory. 3. Bonus applied to employees whose wage not exceeding 3500 per month this is not so with incentives. 4. Bonus is paid only when company is in profit and calculated mostly on yearly basis but you have to give incentives when you r in loss also. 5. Bonus is given on bases of contribution of all employees but incentives are based on individual contribution. Mostly bonus is for profit based organization (manufacturing unit) and not for other. Mostly salesman is excluded from bonus. (But may depend on company to company) Regards KULDEEP SINGH RATHORE
From India, Hyderabad
From India, Hyderabad
Bonus ( Merit based calculation ) and Incentive are completely different. In case of Bonus you reward employees differently based on their performance( limits generally defined), wherein incentives are paid on simple logic " you bring more money for me and I will give you more"
From India, Mumbai
From India, Mumbai
I am working in a organizations who policy is that you are getting insentives more than yours statuary bonus amount so you are not get the bonus. I want to know how this can be right because performance bonus is different and statuary bonus which we received one in a year is different please suggest me what can I do in this type of behavior of company?
From India, undefined
From India, undefined
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Amendment to Payment of Bonus Act 2015.jpg
Bonus act amendment gazette copy.pdf
Sales Report 2016 one.xls