Cash Incentive
A cash incentive is a variable pay that is offered to employees for their performance or contributions. Typically, they come in addition to employees’ regular salaries or hourly wages and can take many forms, including performance-based bonuses, profit-sharing, and stock options.
As a motivation tool, cash incentives motivate employees to achieve specific goals and objectives. An employer can increase employee performance and contribute to the success of the company by offering cash incentives to employees who go beyond their job requirements.