Mar 3, 2025 · Learn what variable pay is, types of variable pay, who typically receives variable pay, in what forms it's available and how it differs from traditional pay.

What is variable pay? Variable pay is a compensation structure where a portion of an employee’s earnings is tied to performance, results, or achieving specific goals, rather than being guaranteed as part of a fixed salary or hourly wage.

Aug 30, 2024 · What is variable pay? Variable pay, also known as incentive pay or performance-based pay, refers to the portion of an employee’s compensation that is contingent upon their performance or the achievement of specific business objectives.

May 8, 2024 · Variable pay is a portion of an employee's cost to company (CTC) that changes based on the individual's or the company's performance. It is paid as a reward for the employee's contribution towards the company's growth. Unlike a fixed salary, variable pay is directly tied to specific achievements.

Apr 30, 2018 · Variable pay is any number of bonuses, incentives, commissions, and other cash compensation that is contingent on employee performance.

May 11, 2024 · Variable compensation refers to the part of an employee's pay that changes based on their performance or specific goals. It's called "variable" because it's not a fixed amount like a base salary.

Jul 3, 2024 · Variable pay is a cash incentive given to employees for outstanding performance or achieving specific objectives. It motivates employees to be more productive and achieve their goals. It is usually granted quarterly, half-yearly, or annually as a bonus, incentive, or other monetary rewards on top of their monthly salary.

Mar 6, 2025 · Variable pay is a performance-driven compensation model that rewards employees based on their contributions, contrasting with the predictability of fixed payroll. In 2025, it’s more relevant than ever — a study reports that 70% of organizations now integrate it into their pay structure to boost employee performance. What is Variable Pay?

Oct 28, 2023 · Variable pay refers to the payment made by an employer to its employee for their contribution to the organisation’s growth and success. It is popularly known as performance-linked pay. It is usually paid in the form of incentive pay, bonus, or commission.

Variable pay is additional compensation provided to employees based on their performance, achievements, or meeting specific targets. Unlike fixed monthly salaries, variable pay is performance-linked and can be issued quarterly, semi-annually, or annually in the form of bonuses, commissions, or other rewards.