Do/Did you receive a bonus?

[Sandy]

My bonus this year, in lieu of a raise, will be $1,000, less than $700 after taxes. Not effect on FIRE that's for sure

 

[NinjaPigeon]

Last year was the first I'd gotten a "real" bonus in my working years. I got 7% of my salary, which was a nice sum. I put it straight into the portfolio. However, I left the company several months ago, and my new company has no bonus. However, there will probably a profit sharing plan put into place sometime next year which might equate to a modest bonus.

 

[Gone4Good]

That never stopped many of my former colleagues. They borrowed the anticipated bonus throughout the year. :

Yes, that is the norm.

My old boss retired at 45 and people who made more than he did over a longer period of time were stunned. "How can he afford to do that?!??"

"Well, for starter he doesn't have a boat, two houses and three ex-wives."

 

[Celany]

um...sorta?

We get this lump sum at the end of the year, which is a percentage of our pay, 2-3%, I think. BUT, it gets deposited into our retirement accounts (if we don't actively manage, then it goes into a money market).

The total CRAP thing about it is that the thing doesn't start to vest until you've been with the company for 2 years (and that just changed, before this year, it took 3 years to start to vest). @ 2 years, you get 20%, 3 years: 40%, 4 years: 60% & so on. I think it's somewhat idiotic myself. I'd like to know what they do with all the money that people don't end up getting (most people move on after 2-4 years).

part of what irritates me is how they totally talk it up, like it's this amazing thing. it's a way for them to get out of GIVING us a real year-end bonus (the way almost all companies in my industry do), & to get get a lot of the money back that they supposedly "give" because of job turnaround.

 

[FinanceDude]

Bonus??

 

[kjpliny]

"I got a rock."

A gold star to anyone who remembers where this quote came from.

 

[Martha]

Charlie Brown, when trick or treating.

 

[kjpliny]

You win!

(love that quote)

 

[skyline]

Profit sharing usually runs about 20% of overall comp, and bonuses in the form of stock options have doubled annual income for a few years now.

Yes, a huge factor in FIRE (although I haven't yet)...

 

[cardude]

We get this lump sum at the end of the year, which is a percentage of our pay, 2-3%, I think. BUT, it gets deposited into our retirement accounts (if we don't actively manage, then it goes into a money market).

The total CRAP thing about it is that the thing doesn't start to vest until you've been with the company for 2 years (and that just changed, before this year, it took 3 years to start to vest). @ 2 years, you get 20%, 3 years: 40%, 4 years: 60% & so on. I think it's somewhat idiotic myself. I'd like to know what they do with all the money that people don't end up getting (most people move on after 2-4 years).

part of what irritates me is how they totally talk it up, like it's this amazing thing. it's a way for them to get out of GIVING us a real year-end bonus (the way almost all companies in my industry do), & to get get a lot of the money back that they supposedly "give" because of job turnaround.

Wow. The way people feel about their bonuses is really sobering for an employer like me. For instance, the bonus above was probably thoughfully structured in an attempt to retain good employees, but in this instance it looks like it just made Celany mad instead.

Actually, it doesn't look like many of the bonuses described are retaining anyone very well, as everyone seems to be looking to quit ASAP or change jobs.

My company offers a matching 401K (100% of the first 3% and vested over a period of years), and I have found that it has done very little to help retain people. We also do a small year end bonus, but it's more of Christmas bonus (fairly small).

The best retention tool I have found is just pay them a good wage, and probably almost as important, frequently talk and pay attention to them so they don't feel used/abused.

 

[Charlie_Boy]

Yes, I recieve one and that is the reason I am still here. Last year we went to Italy, next month we go to Eastern Europe. If I can make it to next year, Ireland. Why else would anyone work? Oh, yeah, food, forgot about that.

Charlie
Zenfolio | Travels with Charlie

 

[Texas Proud]

Wow. The way people feel about their bonuses is really sobering for an employer like me. For instance, the bonus above was probably thoughfully structured in an attempt to retain good employees, but in this instance it looks like it just made Celany mad instead.

Actually, it doesn't look like many of the bonuses described are retaining anyone very well, as everyone seems to be looking to quit ASAP or change jobs.

My company offers a matching 401K (100% of the first 3% and vested over a period of years), and I have found that it has done very little to help retain people. We also do a small year end bonus, but it's more of Christmas bonus (fairly small).

The best retention tool I have found is just pay them a good wage, and probably almost as important, frequently talk and pay attention to them so they don't feel used/abused.

Well, first off is that if you get a 'bonus' and then they hang onto it to 'keep you there'... then it is NOT a bonus, but deferred pay.. now, if they gave you stock and it actually rose some (options also), then you do have a chance to make some money... but if you get so small of an amount like we got a few year back (75 shares option)... then it is to small to matter..

As for your 401(k), 3 percent is puny... there is nobody I know of who would stay just for that... heck I get 5% and I think that is small...

But you are right... pay a good wage and treat them well (and give them something productive to do!!!)... you got them..

 

[Olav23]

Wow. The way people feel about their bonuses is really sobering for an employer like me.

You forget, many of us are very cynical and jaded towards our employers nowadays. Many people here seem to be in the IT industry where we have dealt with outsourcing, rolling layoffs, assinine bosses with crazy deadlines, etc.

This is not the 50s anymore, where you were employed for life and then retired with a comfortable pension. We find it very hard to trust our employers from past experiences. Generally, it is a race to the bottom and your only way to beat the curve is to job-hop.

 

[saluki9]

As for your 401(k), 3 percent is puny... there is nobody I know of who would stay just for that... heck I get 5% and I think that is small...

I'd kill to get a 3% match in my 401(k)

 

[W2R]

I'd kill to get a 3% match in my 401(k)

You are making me feel very happy with my 5% match in my TSP (401K)!

Federal employment may not always produce the highest of all possible salaries, but we do have great benefits.

What keeps me at my job? A good working environment, liveable wage, and rock solid and realistic retirement plan. My cash award was not huge, but I feel more appreciated due to it and that adds to the good working environment. It wouldn't matter at all if my working environment was bad to begin with, but it's not.

 

[Texas Proud]

I'd kill to get a 3% match in my 401(k)

I can see the headlines..... "Employee went crazy and killed his supervisor saying 'where is my 3%!!!'"

 

[Dreamer]

I never received even a penny added to my TSP since I was under the old civil service system. I would have been ectastic to have a 3% match.

My DH's employer does a match to his 401K and I am extremely grateful for it and for his yearly bonus!

 

[FIREd]

I dont get bonuses but my wife does: she gets a cash bonus twice a year, once in January (about 7% of gross) and once in July (another 7% of gross). Plus she gets a 401K match (4% of gross). Each year she also received some restricted stock (about 2% of gross after tax). So that's about a 20% bonus each year which we sock away entirely. It is definitely a nice boost to our annual savings.

Finally there are stock options with new grants every year but those are hard to put a number on since it depends on the strike price which varies from grant to grant.

 

[Outtahere]

My bonus is about 45% of my compensation and from the time I started with the company it went to either paying off the mortage or paying down a business debt. Once those were paid it went straight into our retirement account and will definately help with FIRE. The company also matches our 401k, not as much as I'd like but I'm not turning it down either.

Every employee in our company receives a bonus. In the industry I'm involved with high employee turn over is a given but we've been very sucessful in keeping great employees with the bonus and benefits we pay.

 

[Meadbh]

I got a bonus once, $200, about 20 years ago, when I was training in the US. I almost died of shock. I shouldn't have worried: it hasn't happened since! A year from now I expect to get a small retention bonus which has been hyped for the past 5 years as a good reason to stay. Frankly, while it's nice to add to the FIRE account, it's not a material factor in my retention. Job satisfaction is the major reason I stay.

 

[FinanceDude]

What's a bonus??

 

[Spanky]

If so, how much of a role did it play in your ability to FIRE?

I received a 15% bonus and do not think that would improve my ability to FIRE since the bonus is built into the total compensation. The company pays below the market reference and considers the bonus as part of the pay.

 

[pedorrero]

During my working carrer, I liked to cynically say that "bonus" often seemed to be parsed as "bone us", in terms of what management did to the wage slaves. What the heck is that one? Ms Pac-Man meets the Chiquita girl

 

[martyb]

I work for Uncle Sam, and he don't like handing out big bonuses, at least to peons like myself. I'm just a blue collar guy, earning less than 60K per year. This year I got a 2.5% bonus in June. Normal bonus size has been in the 2-3 percent range over the past few years.

 

[martyb]

Come on January 18th, 2013!