How Do I Include a Joining Bonus in the Salary Structure: Fixed or Variable?

Hello All,

I need to prepare an offer letter for a new joiner. Please let me know where I should mention the joining bonus in the salary structure. Should it be a fixed or variable component?

Thanks,
Ankita

Dear Anku,

If the joining bonus is a one-time paid component, don't mention it in the Salary Structure. You can include the Joining Bonus amount in the Appointment Letter. However, specify a particular period (1-2 months) in the letter and pay the amount after that period. The Salary Structure should only reflect components paid on a monthly routine basis.