You can determine whether the calculation of the bonus amount is based on an employee’s basic pay in a given payroll period or the average basic pay over several payroll periods. Note that the latter method can only be used if values for average basic pay are created during payroll processing.

You can determine a factor by which the calculation base is multiplied to provide the actual amount of the bonus payment.

You can determine whether abonus is to be paid in one period or over several periods. For each bonus payment, you can specify whether it is to be included in the regular payroll run of the respective period, or whether it is to be paid in as off-cycle payroll run. The latter lets you create flexible payment models.

You can define special calculation rules for employees who leave the company during the period for which bonus calculation is run. Alternatively, you can exclude these employees from bonus.

If an employee has not worked for your company for the whole year, you can determine how the bonus payment is to be pro-rated, for example, according to the number of months or calendar days that the employee worked.

You can define special calculation rules for employees whose probation period has not ended by the time bonus is calculated, for example, no bonus or, bonus only paid on confirmation of employment.

You can specify a minimum and a maximum amount for the bonus payment. Alternatively, you can decide that a fixed amount is to be paid, overruling the calculation based on an employee’s basic pay.