What's the difference between bonus and incentive?

Bonus


Definition:

  • (n.) A premium given for a loan, or for a charter or other privilege granted to a company; as the bank paid a bonus for its charter.
  • (n.) An extra dividend to the shareholders of a joint stock company, out of accumulated profits.
  • (n.) Money paid in addition to a stated compensation.

Example Sentences:

  • (1) The Treasury said: "Britain has been at the forefront of global reforms to make banking more responsible, including big reductions in upfront cash bonuses and linking rewards to long-term success.
  • (2) It takes more than a statistical read out and the return of big bank bonuses for a real recovery," he said.
  • (3) But it has already attracted attention for paying some deferred bonuses early in the US to avoid a hike in tax rates.
  • (4) And he failed to engage with these sensible proposals to limit bonuses to a maximum of a year's salary or double that if explicitly backed by shareholders - proposals which even his own MEPs have backed – until the very last minute.
  • (5) Lord Mandelson told bankers today that the one-off tax that will be imposed on their bonuses in today's pre-budget report was not designed to "teach them a lesson".
  • (6) If a bank does not meet the commitment, its chief executive and senior managers responsible for business lending will not receive the maximum pay and bonus as a result."
  • (7) The commission heard that the bonus culture had grown from the 1980s and that professionalism had been lost from the industry.
  • (8) An added bonus: With acceptance comes team building.
  • (9) It is the bonus culture – not high pay, recklessness or incompetence – that has polluted banking's public image.
  • (10) Excellent question -- is the absence of a bonus for M&S's 80,000+ staff a "failure of leadership"?
  • (11) In 2007, his £450,000 LTIP, combined with basic salary and bonus, left him £1.2m better off - and with nearly double the then salary of the BBC's director general, Mark Thompson.
  • (12) Until the October 2008 banking crisis there were no restrictions on the way bankers were paid, but rules were devised to try to link payouts to performance when it emerged that banks would still pay bonuses despite receiving taxpayer bailouts.
  • (13) The key point is that the G20 principles do not place any cap on the size of bonuses.
  • (14) Belinda Lester, from the employment law firm CKFT, agreed: "If they have a bad year, it's very difficult to cut back salaries"; the second big plus from the bank's point of view is "if a significant part of your remuneration is a bonus, these contracts will make it very clear that bonus is only payable if you're not leaving.
  • (15) The staff bonus pool at J Sainsbury has fallen by a quarter, despite the supermarket chain posting higher sales and profits for the last financial year.
  • (16) The chief executive has already waived his bonus for 2012 following the furore surrounding the £1m he was to be handed for 2011 before the political outcry forced him to hand it back.
  • (17) Just a few days before its annual results, the bank is ready to tell staff how much they will be getting and outline new payments to top staff who will be affected by the EU's bonus cap.
  • (18) Griffith earned £1.05m, including a bonus of £548,500, worth 113% of his salary and just short of the 125% maximum.
  • (19) HSBC and Standard Chartered, two UK-based banks who often manage to avoid the bonus spotlight, will also feel the heat after paying out millions to US regulators for breaches of the rules.
  • (20) Yet bank bonuses soared in April as payments were delayed so the highest paid could benefit from this government's top rate tax cut.

Incentive


Definition:

  • (a.) Inciting; encouraging or moving; rousing to action; stimulative.
  • (a.) Serving to kindle or set on fire.
  • (n.) That which moves or influences the mind, or operates on the passions; that which incites, or has a tendency to incite, to determination or action; that which prompts to good or ill; motive; spur; as, the love of money, and the desire of promotion, are two powerful incentives to action.

Example Sentences:

  • (1) Not only do they give employers no reason to turn them into proper jobs, but mini-jobs offer workers little incentive to work more because then they would have to pay tax.
  • (2) "The level of the financial penalty to be imposed in this case should be sufficient to act as an effective incentive [to all broadcast licence holders] to continue to provide all elements of their respective licensed services throughout the licensed period, even if the licensee believes that there are commercial reasons for it to cease providing all or part of the licensed service during the licence period," the regulator added.
  • (3) Similarly, while those in the City continue to adopt a Millwall FC-style attitude of "no one likes us, we don't care", there is no incentive for them to heed the advice and demands of the public, who those in the Square Mile prefer to dismiss as intemperate ignoramuses.
  • (4) "The victims are very clear that those outstanding matters of detail – which are not on the charter but on the legislation surrounding the incentives mainly – is just as important to them than any detail in the charter."
  • (5) The report's authors warns that to limit their spending councils will have "an incentive to discourage low-income families from living in the area" and that raises the possibility that councils will – like the ill-fated poll tax of the early 1990s – be left to chase desperately poor people through the courts for small amounts of unpaid tax.
  • (6) This study investigates the use of the incentive inspirometer to observe the effects of tight versus loose clothing on inhalation volume with 17 volunteer subjects.
  • (7) Removing that economic incentive is the most powerful thing we can do to reduce levels of immigration back to what British people want to see,” he said.
  • (8) These incentives provided employees with evidence of tangible support for continuing education.
  • (9) Including these incentive or responsibility payments in fixed pay is also more honest in accounting terms.
  • (10) He has some suggestions for what might be done, including easing changing the planning laws to free up parts of the green belt, financial incentives to persuade local authorities to build, and the replacement of the council tax and stamp duty land tax with a new local property tax with automatic annual revaluations.
  • (11) The authors provide an important description of a successful alternative foster parent recruitment effort, including the provision of fiscal incentives for foster parent recruiters.
  • (12) The prison suicide rate, at 120 deaths per 100,000 people, is about 10 times higher than the rate in the general population.” The report calls for a recently revised incentives and earned privileges regime to be scrapped and for an undertaking that prisoners with mental health problems or at known risk of suicide should never be placed in solitary.
  • (13) As an incentive, there should be mass availability of all types of contraceptive devices free of charge to users or at least highly subsidized.
  • (14) This can only be accomplished by providing time, facilities, incentives, and encouragement to do what originally attracted the teacher into a career in science and teaching in the first place.
  • (15) You can bear witness to the gallantry of our military in Burma, the Democratic Republic of Congo, Sierra Leone, Liberia, Darfur and many other parts of the world, but in the matter of the insurgency our soldiers have neither received the necessary support nor the required incentives to tackle this problem.” He added: “We believe that there is faulty intelligence and analysis.
  • (16) As a consumer-oriented regulatory tool, it is valuable though limited since it can only react to proposals and can neither initiate nor provide positive incentives for new programs.
  • (17) This measure aims to be an incentive for the industry to provide more healthy options.
  • (18) This study analyzed the cost-effectiveness and distribution of costs by program stage of three smoking cessation programs: a smoking cessation class; an incentive-based quit smoking contest; and a self-help quit smoking kit.
  • (19) However, few new commonhold flats are being built, as developers do not have the incentive of profiting from the freehold.
  • (20) Youth unemployment has fallen by 59,000 since the scheme's launch, but the low take-up of the wage incentive scheme means it can claim little credit.