Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 01-25-2016, 04:13 PM   #41
Recycles dryer sheets
 
Join Date: Jul 2014
Location: Undisclosed
Posts: 91
I spent it. $100. One year only.
__________________

__________________
N02L84ER is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 01-25-2016, 04:25 PM   #42
Thinks s/he gets paid by the post
 
Join Date: Oct 2012
Location: Colorado Mountains
Posts: 2,136
I got a "spot award" once. $50. Closest thing I ever got to a bonus. I worked a lot of overtime including an over-nighter one week to earn that $50. I took my bride out to dinner to make up for being missing in action on the home front for a week.
__________________

__________________
Hermit is online now   Reply With Quote
Old 01-25-2016, 04:37 PM   #43
Moderator
Walt34's Avatar
 
Join Date: Dec 2007
Location: Eastern WV Panhandle
Posts: 16,528
I worked in government. What is this "bonus" thing?
__________________
I heard the call to do nothing. So I answered it.
Walt34 is offline   Reply With Quote
Old 01-25-2016, 04:43 PM   #44
Thinks s/he gets paid by the post
Big_Hitter's Avatar
 
Join Date: May 2013
Location: In the fairway
Posts: 4,094
Quote:
Originally Posted by Walt34 View Post
I worked in government. What is this "bonus" thing?
typically a target of your base pay, payable upon attaining certain goals throughout the year and....more importantly....the amount of the bonus pool at the end of the year

when I first started in this business 30 years ago, no non-officer employees got a bonus, you had to work 40, 50, 60 hours a week for base pay with zero overtime. When I switched companies at age 31, I started getting bonuses that were about 15-20% of base.
__________________
Swing hard, look up
Big_Hitter is offline   Reply With Quote
Old 01-25-2016, 06:35 PM   #45
Full time employment: Posting here.
 
Join Date: Jul 2011
Posts: 721
Our bonuses are pretty substantial. We spend maybe 1% on something fun, give some to charity and use the rest to fund IRAs for the year, max out our HSA and the rest goes into other after-tax saving.
__________________
panacea is offline   Reply With Quote
Old 01-26-2016, 10:21 AM   #46
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
kcowan's Avatar
 
Join Date: Jul 2006
Location: Pacific latitude 20/49
Posts: 5,717
Send a message via Skype™ to kcowan
Quote:
Originally Posted by Walt34 View Post
I worked in government. What is this "bonus" thing?
In my case it was 30% of my base salary that was only repaid when work objectives were made, and it could be triple that (capped) for exceeding.
__________________
For the fun of it...Keith
kcowan is offline   Reply With Quote
Old 01-26-2016, 01:43 PM   #47
Moderator
Walt34's Avatar
 
Join Date: Dec 2007
Location: Eastern WV Panhandle
Posts: 16,528
Okay, thanks. I knew it was "extra" income, but didn't know if it was calculated or an arbitrary award based on planetary alignments.
__________________
I heard the call to do nothing. So I answered it.
Walt34 is offline   Reply With Quote
Old 01-26-2016, 01:50 PM   #48
Recycles dryer sheets
 
Join Date: Nov 2014
Posts: 381
My current has a target % based on level within the company with a portion based on company performance, a portion based division performance and a portion based on personal performance.
__________________
big-papa is offline   Reply With Quote
Old 01-26-2016, 02:54 PM   #49
Full time employment: Posting here.
GravitySucks's Avatar
 
Join Date: Feb 2014
Location: Syracuse
Posts: 989
Paid down the mortgage a bit, wife would buy some nicer clothes for her and the girls (thank god she didn't pass before they grew up, I would have had them in Walmart finest.) and upgraded on vacations year the bonus was higher than expected.

Looking back I wish I spent more of it on better vacations than we did. It would have been worth OMY.
__________________
GravitySucks is offline   Reply With Quote
Old 01-26-2016, 06:18 PM   #50
Recycles dryer sheets
 
Join Date: Aug 2014
Posts: 422
I once managed an engineering project for 8 months that ended up as one of the company's greatest successes. As a recall, the 5 main team members got $300 in bonuses. Out of that, they took taxes. I can't remember what I spent it on. But I do remember the experience.


At a different company, I got a sizeable bonus (to me anyway). I spent about 1/2 of it to speed up a hobby project I was working on, the rest went to IRA's (including catchup dollars) for me and my wife.


I believe on treating yourself when receiving unexpected monies. That is what it was intended for, right? Treat yourself in both the short term and the long term. Spend some on a memorable moment and save al least 1/2.
__________________
CRLLS is online now   Reply With Quote
Old 01-26-2016, 08:09 PM   #51
Recycles dryer sheets
 
Join Date: Feb 2013
Posts: 186
This year, I will be getting 15% of my 2015 salary as a bonus payout. This was my 2nd bonus received with my company. For 2014, I received 20%. So I was anticipating receiving at least that for 2015 but was told the amount was 15%.

Since I'm not in a sales role, I asked my boss if it was related to my performance but I was told it was in no way related to my performance just that our expenses had increased with hiring more staff and that we were on target with our sales goal.

I was kind of disappointed, since the 5% was about $5k less than I thought I'd get, but still feel relatively fortunate since I work in a pure overhead role, and have very good work life balance and do not work long hours.

Apparently, I've learned many others in the company are pretty upset as I guess bonuses were cut across the board. I am still pretty new and didn't have any rationale to justify a bigger bonus, but I guess others are quite upset.
__________________
younginvestor2013 is offline   Reply With Quote
Old 01-26-2016, 08:11 PM   #52
Recycles dryer sheets
 
Join Date: Feb 2013
Posts: 186
Oh, and to answer the question, I will be putting 6% in my 401k to get the 3% employer match. After that and taxes are taken out, it should be about $5-6k, and I will put the rest in savings. What I like to do is save the rest and make splurges throughout the year. I.e., it becomes my vacation fund, or christmas gifts fund, or "long weekend get away fund".

I never end up spending it all (I'd guess maybe $3-4k), so some of it always rolls forward year after year and my cash savings get built up more.
__________________
younginvestor2013 is offline   Reply With Quote
Old 01-27-2016, 07:03 AM   #53
Thinks s/he gets paid by the post
DrRoy's Avatar
 
Join Date: Dec 2015
Location: Michigan
Posts: 1,718
Quote:
Originally Posted by scrabbler1 View Post
I always had a surplus of income over expenses which was therefore saved, so any bonus I received simply increased that surplus.

One bonus, however, happened to coincide with a new car I had planned to buy back in early 2007. The bonus, which ended up being about 25% of the car's price, resulted in my not having to pull as much from savings as I originally thought.
This is fairly close to my situation. For most of my career, I did not get a bonus. Around 12 years ago, Megacorp started giving bonuses based on meeting certain financial targets, and the targets were low enough that we got something every year. The bonus was linked to your level, and my early ones were $1000-3000. That amount just went into the checking account and for the most part went toward funding that year's IRA contribution.

Two years ago I got a promotion that made my bonus more like $7000-9000. The first year it mostly went to FIT as my carry forward of capital gains losses from the great recession ran out (I should have seen that coming). Last year I needed to replace my car so it went toward that, and I paid cash for it.

This year will be the first of the larger bonuses that will be totally discretionary, and I am thinking of using 10-20% to do/buy something fun with the DW, and saving the rest.
__________________
"The mountains are calling, and I must go." John Muir
DrRoy is offline   Reply With Quote
Old 01-27-2016, 07:25 AM   #54
Thinks s/he gets paid by the post
jollystomper's Avatar
 
Join Date: Apr 2012
Posts: 1,358
In my job role I am eligible for up to 35% of my base salary in bonuses, and am also eligible for awards. I never budget for them, always treating it as "surprise" money. I normally have spent about 10% of the bonus and saved/invested the rest. Back in theY2K fear days were my biggest bonuses due to the demand for those skills. The highest bonus/awards total I received in a year was over $60k after taxes.

These days I've loosened up the spending, spending half the bonus and saving/investing the rest. We are using it for long term home improvement products and "long weekend" vacation trips.
__________________
Current target FIRE date: Under negotiation, can happen anytime.
jollystomper is online now   Reply With Quote
Old 01-27-2016, 08:05 AM   #55
Thinks s/he gets paid by the post
 
Join Date: Nov 2009
Posts: 3,863
Quote:
Originally Posted by DrRoy View Post
This is fairly close to my situation. For most of my career, I did not get a bonus. Around 12 years ago, Megacorp started giving bonuses based on meeting certain financial targets, and the targets were low enough that we got something every year. The bonus was linked to your level, and my early ones were $1000-3000. That amount just went into the checking account and for the most part went toward funding that year's IRA contribution.

Two years ago I got a promotion that made my bonus more like $7000-9000. The first year it mostly went to FIT as my carry forward of capital gains losses from the great recession ran out (I should have seen that coming). Last year I needed to replace my car so it went toward that, and I paid cash for it.

This year will be the first of the larger bonuses that will be totally discretionary, and I am thinking of using 10-20% to do/buy something fun with the DW, and saving the rest.
Your bonus history is a little like mine when I was working. For the first 17 years I worked, there was no annual bonus program, only small bonuses ($1,000 or less) as special awards for special achievements. I got 3 of those in those first 17 years. Then, starting in 2003, they began giving out annual bonuses, but only for full-time employees (I worked part-time starting in 2001). But in 2004, they extended bonuses to part-timers like me. My largest bonus came in 2007, the aforementioned one which followed my new car purchase. The bonus dropped in 2008 after I had reduced my weekly hours worked, 7 months before I ERed. The bonuses were always between $2,000 and $4,500.
__________________
Retired in late 2008 at age 45. Cashed in company stock, bought a lot of shares in a big bond fund and am living nicely off its dividends. IRA, SS, and a pension await me at age 60 and later. No kids, no debts.

"I want my money working for me instead of me working for my money!"
scrabbler1 is offline   Reply With Quote
Old 01-27-2016, 09:04 AM   #56
Recycles dryer sheets
 
Join Date: Jun 2002
Posts: 367
I have always saved 100% of my bonus, as well as any other irregular income such as ESPP, RSUs, additional income when SS is done for the year, etc. Last year I started doing something a little different: I round down to the nearest $1000 when I receive the bonus, etc and save this. The remainder (obviously under $1000) I leave in my checking to be spent. Doesn't make a huge difference, but gives me a little extra $$. I also stopped saving the extra when SS, and 401k contributions are finished for the year (I spread 401k across most of the year, but it ends around October). Again, not a huge change, but I've done quite well with savings, so I think I can loosen up a little bit. So far this has only led to a slightly swelling checking account, so it might get saved anyway

Pan
__________________

__________________
When you walk in the shadow of insanity, the presence of another mind that thinks and acts as yours does is something close to a blessed event. -Robert Pirsig, Zen and the Art of Motorcycle Maintenance
panhead is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Is it patriotic to spend rather than to save ? obgyn65 Other topics 29 01-19-2012 03:32 AM
Spend it or Save it? Rustic23 FIRE and Money 49 01-21-2008 08:25 PM
Bonus, I don't need no stiinkin' bonus, except... redduck Other topics 8 12-28-2007 10:57 AM
Why you should save instead of spend! bbuzzard FIRE and Money 57 05-20-2006 07:21 PM
Anyone wanna get the ING bonus? Berkshire_Bull FIRE and Money 7 09-29-2004 05:25 PM

 

 
All times are GMT -6. The time now is 09:02 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.