Can my employer give me my yearly bonus a month early as "incentive" then take it back if I don't make all my sales plans?
Question Details:
I was given my yearly bonus a month in advance as an "incentive" to finish off the year good. If I don't make my goals and numbers for the end of the year they are talking about me having to pay it back.. Can they do that?
Employment and Labor Law Answers
An employer may pay a bonus (or commission, etc.) early, then recover it if certain terms, goals, targets, etc. are not met. The issue is what was the terms of the bonus agreement--if the agreement required you to make certain numbers to get the bonus, then if when they gave you the bonus early, they did not change those terms, then the bonus is subject to recovery by your employer if you don't meet the goals. Whatever were the terms of the bonus are enforceable.
If there were no qualitative terms for earning the bonus but rather it was discretionary, then once given, they should not be able to seek its recover.
Related Employment and Labor Questions
- What Types Of Compensation Claims Are Subject To ERISA?
- I am a long-time (15-year) renter in an apartment house. There have been yearly increases over the y...
- What are the tax consequences of an early withdrawal from a Simple IRA?
- How do cash balance plans differ from 401(k) plans?
- Can I pay off my Chapter 13 bankruptcy plan early?
Didn't find your answer? Ask.
Top Ranking Attorneys
- Kevin Bessant426 Answers|Points 5800Gold Contributor
- Madan Ahluwalia104 Answers|Points 1900Silver Contributor
- Kenneth Berger33 Answers|Points 1630Bronze Contributor
- Hong Shen528 Answers|Points 800Platinum Contributor
- Barry J. Simon16 Answers|Points 730Bronze Contributor
- Harun Kazmi56 Answers|Points 650Bronze Contributor
- Hong Shen528 Answers|Points 26400Platinum Contributor
- Kevin Bessant426 Answers|Points 21280Gold Contributor
- Steven Fromm113 Answers|Points 5430Silver Contributor
- Madan Ahluwalia104 Answers|Points 5170Silver Contributor
- Kelly Broadbent93 Answers|Points 4600Silver Contributor
- Glenn M. Lyon, Esq.93 Answers|Points 4530Silver Contributor
Are you a lawyer?Want to be featured here? Sign up for a free profile and get started today! Click Here