What is one example of variable pay in your company?
To help you know what incentives to use as variable pay in your company, we asked business leaders and CEOs this question for their best examples. From performance bonus to loan acquisition bonus, there are several examples of compensations that you may use as variable pay to reward your employees.
Here are the four best examples of variable pay:
- Performance Bonus
- Increased Vacation Days and Flexible Hours
- Spot Bonuses.
- Loan Acquisition Bonus
In our case, we use a performance bonus to encourage the employee to keep up the good work they are doing. Call it variable pay, incentive, or commission, this is an easy and viable way to keep the employee motivated. No organization can thrive and grow if its employees are not performing. Salary, as it’s fixed, stops existing for the employees after some time. With a performance bonus, we manage to persuade employees to invest extra effort. We provide a performance bonus twice a year after an unbiased performance review.
Caroline Lee, CocoSign
Increased Vacation Days and Flexible Hours
It is a performance-based salary system, where our employee’s salaries can increase based on their performance. If they are outperforming the others in their position, they have the potential to earn more than what was originally offered to them. However, variable pay is one example of incentive for employees to perform better in the company. It is not just about monetary gains; there are other incentives as well such as increased vacation days or flexible hours.
Alan Wilford, I Peep BXS
Our organization places a premium on taking risks and being daring. Those that demonstrate strong organizational ideals, teams that achieve their objectives, and, on occasion, individuals who have failed projects simply because they tried something new are rewarded for increasing motivation and boosting confidence throughout the organization.
Gisera Matanda, WeLoans
Loan Acquisition Bonus
We offer bonuses to employees that exceed their quarterly target in our company. These employees help our clients get loans and get more than the minimum amount targeted. The services offered have to be satisfactory to the client and all stakeholders involved. The bonus varies according to the number of clients served. For 1 to 5 clients above the minimum, the employee gets $500. 6 to 15, $1500, and $3000 for any number above 15.
Ivy Bosibori, USBadCreditLoans