Variable Pay & Incentives

Q4 FY 2024-25 · Jan-Mar 2025
Variable Pay Dashboard — Q4 FY 2024–25
Jan–Mar 2025 · 4 active plans · Next payout: Quarterly (31 Mar)
Active Plans
4
Sales · Mgmt · Tech · Ref.
Q4 Total Payable
₹42.6L
Across 89 employees
↑ ₹7.2L vs Q3
Avg Payout/Employee
₹47,865
Eligible: 89 of 152
Pending Approvals
3
2 escalated
Blocking payout
Statutory Bonus
₹8.4L
Annual · FY 2024–25
Due Sep 2025
Active Plans — Q4 Status
Click to drill into any plan
📈
Sales Incentive Plan — Q4
28 employees · Revenue target ₹8Cr · Slab-based
₹18.4L
Ready
🎯
Management Performance Bonus
12 employees · MBO-linked · Annual
₹14.2L
Pending Approval
Tech Team Delivery Bonus
41 employees · Sprint performance · Quarterly
₹7.8L
Ready
🤝
Referral Bonus
8 employees · On-trigger · ₹25,000 per hire
₹2.2L
Ready
TDS Impact — Q4 Payouts
How variable payouts affect monthly TDS spread
ℹ Variable payouts are added to monthly taxable income. By default, TDS is spread over remaining months to avoid salary shock. Employees are alerted when TDS change exceeds 20% of net.
Total Q4 Payout Pool
Gross variable payable ₹42,60,000
Estimated TDS on payout −₹8,20,000
Net after TDS ₹34,40,000
TDS handling method
⚠ 6 employees will see TDS spike > 25% of net salary this month. System will notify them automatically.
Q4 Payout Preview — All Plans
89 eligible employees · ₹42.6L total
EmployeePlanTargetAchievedAttainment %Gross PayoutTDS (est.)Net PayoutPayout ModeStatus
VN
Vikram Nair
Sales · EMP-0694
Sales Incentive ₹80L ₹94L
117%
₹1,40,000 ₹31,200 ₹1,08,800 Merge Payroll Ready
RM
Rohit Malhotra
Sales · EMP-0831
Sales Incentive ₹60L ₹47L
78%
₹35,000 ₹7,000 ₹28,000 Merge Payroll Ready
PS
Priya Singh
Management · EMP-0412
Mgmt Bonus MBO Score 4.2 / 5
84%
₹2,52,000 ₹75,600 ₹1,76,400 Separate Pending Approval
KJ
Kiran Joshi
Engineering · EMP-1184
Tech Bonus Sprint KPIs 92%
92%
₹27,600 ₹4,968 ₹22,632 Merge Payroll Ready
AM
Anil Menon
HR · EMP-0278
Referral Bonus Per hire 2 hires
On-trigger
₹50,000 ₹15,000 ₹35,000 Separate Ready
Showing 5 of 89 employees · ₹42.6L total
Incentive Plan Master
Define reusable plan templates. Each plan governs eligibility, calculation method, payout frequency and TDS handling.
Slab-based
Sales Incentive Plan
Quarterly · Sales dept · Revenue target
Employees
28
Q4 Pool
₹18.4L
Avg Attain.
94%
Active Taxable Merge payroll
MBO-linked
Management Performance Bonus
Annual · All managers VP+ · MBO score
Employees
12
FY Pool
₹38L
Paid Q4
₹14.2L
Active Taxable Separate payout
Fixed % of CTC
Tech Team Delivery Bonus
Quarterly · Engineering & Product · Sprint KPIs
Employees
41
Q4 Pool
₹7.8L
Avg Attain.
89%
Active Taxable Merge payroll
Flat Amount
Referral Bonus
On-trigger · All employees · Per confirmed hire
FY Triggered
23
FY Total
₹5.75L
Per hire
₹25K
Active Taxable Separate payout
Spot Award
Spot Recognition Bonus
Ad-hoc · Manager discretion · All employees
FY Awarded
47
FY Total
₹3.2L
Avg Award
₹6,800
Active Taxable Merge payroll
+
Create New Plan
Slab · MBO · Fixed · Spot
Plan Builder — Sales Incentive Plan
Define eligibility, calculation method, slab structure, KPI linkage and payout rules
① Plan Identity
Name, type, period and payout schedule
months in period
② Target & KPI Definition
What the employee is measured against
% of target
No payout below this threshold
③ Calculation Method — Slab Structure
Define attainment bands and corresponding payout rates
Payout Rate is applied to the employee's Target Variable Pay (set in salary structure). Example: if TVP = ₹3,00,000/yr and payout rate = 25%, the Q4 payout = ₹75,000.
# Attainment (% of target) From To Payout Rate (%) Payout Basis Cap (₹)
01 Below threshold
02 Partial
03 Target
04 Achiever
05 Outperformer
+ Add Slab Row
④ Payout & Tax Configuration
How and when the incentive is paid, and how TDS is handled
% change in net
Computed formula preview
Payout = TVP_annual × Slab_rate × (Days_in_period ÷ Period_days)
TDS_delta = (Annual_taxable_with_payout − Annual_taxable_without) × tax_rate ÷ remaining_months
⑤ Approval Workflow
Who must approve before payout is processed
⚠ Payouts above ₹1,00,000 automatically require CFO sign-off regardless of this setting.
Payout Simulator
Result
Slab appliedAchiever (100–119%)
Rate30%
Q4 Payout (÷4)₹22,500
Est. TDS₹6,750
Net to Employee₹15,750
Validations
Plan name set
5 slabs defined
Eligibility criteria set
TDS method configured
No employees assigned yet
Slab gaps: 79→80 OK, check overlaps
Payout Processing — Q4 FY 2024–25
Upload actuals, validate, compute payouts and route for approval
Select Plan & Period
Upload Actuals
3
Validate & Compute
4
Approval
5
Process Payout
✓ Sales Incentive Plan · Q4 Jan–Mar 2025 · Actuals uploaded on 28 Mar 2025 · 28 employees
Step 2 — Actuals Upload (Done)
✓ Uploaded
📊
Q4_Sales_Actuals_SIP.xlsx — 28 rows · Uploaded 28 Mar 10:14
Columns: Employee ID · Achieved Revenue (₹) · Secondary KPI Score
Step 3 — Validate & Compute Payouts
Review computed payouts before submitting for approval
⚠ 2 validation warnings — review before proceeding
EMP-1032 (Arun K.): Target not uploaded — using last quarter target as proxy
EMP-0881 (Seema M.): Service < 3 months — ineligible. Excluded from payout.
EmployeeTarget (₹)Achieved (₹)AttainmentSlabTVP AnnualGross PayoutTDS (est.)NetOverride
Vikram Nair
EMP-0694
₹80,00,000 ₹94,20,000 117.8% Outperformer 40% ₹3,50,000 ₹35,000 ₹10,500 ₹24,500
Rohit Malhotra
EMP-0831
₹60,00,000 ₹47,40,000 79.0% Partial 15% ₹2,80,000 ₹10,500 ₹2,100 ₹8,400
Arun Kumar Proxy target
EMP-1032
₹55,00,000* ₹62,10,000 112.9% Achiever 30% ₹2,50,000 ₹18,750 ₹4,688 ₹14,063
Seema Mehta Ineligible
EMP-0881
₹40,00,000 ₹38,60,000 96.5% Excluded — <3m service ₹1,80,000
26 eligible employees · ₹18,40,000 total gross · ₹3,31,200 TDS
Upload Actuals
📤
Drop actuals file here
XLSX or CSV · Max 5MB
Required columns: Employee ID, Achievement Value, Secondary KPI Score (optional)
Payout Summary
Eligible employees26
Excluded2
Total Gross₹18.4L
Total TDS₹3.31L
Net Payable₹15.09L
Statutory Bonus — Payment of Bonus Act 1965
FY 2024–25 · Applicable to employees earning ≤ ₹21,000/month · Due by 30 Sep 2025
⚠ Statutory bonus is mandatory for establishments with 20+ employees. Payable within 8 months of FY close (Sep 2025 for FY 2024–25). Non-payment attracts penalty under the Act.
Act Configuration
All values as per Payment of Bonus Act 1965 (latest amendment)
Edit in Config →
Eligibility ceiling, calculation ceiling, min/max rates, payout schedule and minimum service eligibility are now managed in Configuration → Variable Pay & Incentive Rules → Statutory Bonus. Current values (read-only):
Statutory — edit in Configuration
Bonus computed on min(actual, ₹7,000/mo)
%
%
%
Between 8.33% (min) and 20% (max)
working days in FY
Annual Statutory Bonus = min(Basic + DA, ₹7,000) × 12 × Rate%
= ₹7,000 × 12 × 12% = ₹10,080 / employee (at ceiling)
Allocable Surplus & Set-On / Set-Off
Act mandates calculation from company's allocable surplus
The Act requires computing allocable surplus from P&L. If surplus is insufficient, prior year Set-On can be used. If surplus exceeds requirement, excess is Set-Off to next year.
Statutory Bonus Computation — FY 2024–25
64 eligible employees · ₹8,41,920
EmployeeMonthly Basic+DACalc Base/moWorking DaysDays in FYPro-rateBonus RateAnnual BonusStatus
Suresh Kale
EMP-0321 · Factory floor
₹9,500 ₹7,000 (capped) 306 365 83.8% 12% ₹8,486 Computed
Nisha Patel
EMP-0445 · Admin
₹14,000 ₹7,000 (capped) 365 365 100% 12% ₹10,080 Computed
Ravi Kumar Ineligible
EMP-1198 · Joined Feb 2025
₹18,000 28 365 ₹0 Ineligible <30 days
64 eligible · 8 ineligible · ₹8,41,920 total
FY Summary
Eligible employees64
Ineligible (salary > ₹21K)88
Ineligible (<30 days service)8
Bonus Rate Applied12%
Total Liability₹8,41,920
Payout Due By30 Sep 2025
Compliance Reminders
• File Annual Return (Form D) within 30 days of paying bonus.
• Maintain register of employees entitled (Form C).
• Bonus on death/dismissal payable to legal representative.
• Disputes: Labour Court jurisdiction under Industrial Disputes Act.
Employee Variable Pay Summary
All plans · All payouts · YTD · Individual TDS impact analysis
Employee Plans Enrolled Q1 Payout Q2 Payout Q3 Payout Q4 Payout YTD Variable YTD TDS on Var. Statutory Bonus Total FY Variable Status
VN
Vikram Nair
Sales · EMP-0694
Sales SIP ₹18,000 ₹22,500 ₹27,000 ₹35,000 ₹1,02,500 ₹28,700 Ineligible ₹1,02,500 Q4 Ready
PS
Priya Singh
Management · EMP-0412
Mgmt Bonus ₹2,52,000 ₹2,52,000 ₹75,600 Ineligible ₹2,52,000 Pending Approval
KJ
Kiran Joshi
Engineering · EMP-1184
Tech Bonus ₹18,000 ₹21,000 ₹14,000 ₹27,600 ₹80,600 ₹14,508 Ineligible ₹80,600 Ready
SK
Suresh Kale
Factory · EMP-0321
No incentive plan ₹0 ₹8,486 ₹8,486 Stat. Bonus
Showing 4 of 152
Approval Workflow
Variable pay payout approvals — maker → L1 → L2 → Finance → Payout
Pending Your Approval
3
₹14.2L waiting · 2 escalated
Approved This Period
28
₹28.4L · Ready for payout
Rejected / On Hold
2
Pending revision from HR
Pending Approvals — Action Required
Plan / Batch Employees Total Amount Submitted By Submitted On Your Role Escalation Action
Management Performance Bonus
Annual · FY 2024–25 · 12 employees
12 ₹14,20,000 Priya Shah (HR Head) 24 Mar 2025 CFO Sign-off Escalated — 5 days
Sales Incentive — Q4 Override
Manual override for 2 employees · Target disputed
2 ₹48,000 Anita Rao (Payroll) 29 Mar 2025 L2 — HR Head
Spot Award — March 2025
3 spot awards raised by managers this month
3 ₹22,000 Multiple managers 28 Mar 2025 L1 — HR Head
Approval History — Q4 FY 2024–25
Sales Incentive Plan Q4 — Approved · 26 employees · ₹18.4L
CFO (Vikram Menon) · 29 Mar 2025 14:22
Tech Team Delivery Bonus Q4 — Approved · 41 employees · ₹7.8L
HR Head (Priya Shah) · 28 Mar 2025 11:05
Management Bonus submitted for CFO approval
Priya Shah · 24 Mar 2025 16:30 · Escalated after 5 days
Referral Bonus — 8 payouts approved · ₹2.2L
HR Head · 20 Mar 2025