Bonus Agreement
/ˈboʊnəs əˌgriˈmɛnt/
Definitions
- (n.) A contractual document outlining the terms and conditions under which a bonus is granted from an employer to an employee or from one party to another.
The bonus agreement specified the performance targets required to earn the year-end bonus.
- (n.) An agreement that details the provisions for additional compensation, often contingent upon meeting specific criteria such as profit milestones or deadlines.
The sales team signed a bonus agreement to receive extra pay if quarterly targets were exceeded.
Forms
- bonus agreement
- bonus agreements
Related terms
See also
Commentary
Bonus agreements should clearly define eligibility criteria and calculation methods to avoid disputes; precise drafting helps enforceability.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.