State and federal laws are in place to protect your right to payment. If your employer promised a bonus based on your performance and you have met the criteria for the bonus, an employer must pay you. You may have a legal claim if they withhold the bonus.
May 2, 2024
This fact sheet provides general information regarding bonuses and the regular rate of pay under the FLSA for non-exempt employees.
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Employers may use nondiscretionary bonuses and incentive payments (including commissions) to satisfy up to 10 percent of the standard salary level.
Mar 18, 2024 · A bonus, by definition, is discretionary, meaning there is no legal requirement to pay it at any time. If you have a contract tying a bonus to a ...
Nondiscretionary bonuses are part of an employee's weekly compensation and must be included in the determination of a regular wage rate.
Bonuses are discretionary and excludable if both the fact that the bonuses are to be paid and the amounts are determined at the sole discretion of the employer.
Apr 24, 2023 · Bonuses may also be capped or uncapped. A capped bonus has an upper limit, which is the maximum an employee can earn. An uncapped bonus has no ...
Dec 10, 2021 · The payment of bonuses continues to be an area where many employers fail to comply with the Fair Labor Standards Act (FLSA).
Apr 20, 2022 · Employers must include all nondiscretionary bonuses in the regular-rate-of-pay calculations when making overtime payments to nonexempt employees.
Bonus payments are not inherently required by law; their provision usually depends on what has been agreed upon in the employment contract. Some contracts may ...