The certificate or trophy should be thoughtfully and cleverly designed, and appropriate to the occasion. These awards are sometimes coupled with a token tangible award, such as a gift certificate, a bonus day off, or a great parking space.

You know your company has a good noncash bonus program if these awards are coveted, and if people who receive them display them proudly at their desks or in their homes.

Moreover, this type of award may help you get a promotion or a new job, so include it on your resume. No longer just for star athletes, sign-on bonuses have become commonplace.

Their usage now extends to nearly all level of employees, especially when unemployment is low and top talent is hard to find. The second purpose is important to remember.

Before joining a new company, be sure to account for every kind of compensation program in which you participate. If you are expecting a bonus in a few months, ask your new employer to buy you out of it.

If you have any stock options, particularly options that are in the money, ask the employer to buy them out either in cash or new stock options.

Don't forget to include profit-sharing bonuses or defined contributions for example, a k match or an Employee Stock Options Program ESOP made to your retirement account.

Remember, a sign-on bonus is to keep you whole as you trade one set of compensation programs for a new one. Medium to large signing bonuses may be paid over a period up to a year to protect the company's interests.

Task bonuses are given to a team of employees for achieving a milestone or for completing an important project. Usually, these bonuses are offered sparingly, but they have been used more frequently in software and hardware development to encourage meeting tight deadlines.

Sometimes these programs incorporate a quality measure to guard against too much focus on speed. Mission bonuses can be significant one month's salary is not uncommon, and certainly no less than one week.

This award is for the kind of achievement that deserves mention in your resume. In hot job markets, it can be difficult for employers to find qualified personnel.

Many employers prefer to avoid this fee, and instead, offer referral bonuses to employees for recommending friends and acquaintances.

Employers are comfortable in hiring friends of employees because employees are unlikely to recommend people who will make them look bad.

So don't be afraid to invite your friend to work at your company! Referral bonuses are typically hundreds to thousands of dollars and typically depend on the level of the new hire.

So if your former boss is a good fit for an opening, it's worthwhile to let your company know. Retention bonuses are given to employees in unusual circumstances, such as a merger or acquisition, or when an important project needs to be completed.

These bonuses are designed to provide continuity when there is potential uncertainty about an employee's continued employment at the company.

The bonus encourages employees to stay until a specified date so that critical activities can continue without disruption.

Holiday bonuses range from small gifts; from cash to the ubiquitous holiday turkey to one month's salary. The amount is usually dictated by the company's practices.

Some businesses resort to distributing across-the-board bonuses in an effort to quell jealousies and employee backlash.

After all, it's easier for management to pay bonuses to everyone than to explain to inadequate performers why they were denied. Furthermore, it can be difficult for an employer to accurately assess their employees' performance success.

For example, employees who fail to make their activity quotas may be very hard workers. However, their performance may be hampered by any number of conditions out of their control, such as unavoidable production delays or an economic downturn.

Companies are increasingly replacing raises with bonuses —a trend that vexes many employees. While employers can keep wage increases low by pledging to fill pay gaps with bonuses, they are under no obligation to follow through.

Because employers pay bonuses on a discretionary basis, they may keep their fixed costs low by withholding bonuses during slow years or recessionary periods.

This approach is much more viable than increasing salaries annually, only to cut wages during a recession. In addition to employees, shareholders may receive bonuses in the shape of dividends , which are carved from the profits realized by the company.

In lieu of cash dividends, a company can issue bonus shares to investors. If the company is short on cash, the bonus shares of company stock provide a way for it to reward shareholders who expect a regular income from owning the company's stock.

The shareholders may then sell the bonus shares to meet their cash needs or they can opt to hold onto the shares.

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Definition of bonus. Synonyms Example Sentences Learn More about bonus. Keep scrolling for more. Synonyms for bonus Synonyms cumshaw , dividend , donative , extra , gratuity , gravy , gravy train , lagniappe , perk , perquisite , throw-in , tip Visit the Thesaurus for More.

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More Definitions for bonus. Some sales organizations reward employees with bonus pay without commission. Other organizations set team sales goals instead of individual sales goals.

As a team member, you'd earn the same as the other team members make, a portion of the pooled commissions, and bonus, if available.

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