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Incentive pay
  • Organizations can provide their employees financial incentives (i.e., in the form of commissions, bonuses, gainsharing, or profit sharing).

Organizations may also wish to provide financial incentives to their employees. These may be commissions, bonuses, gainsharing, or profit sharing, to name a few. These types of pay should be carefully planned to be in line with the organizational goals. Tax implications and current organizational and market conditions should also be considered.