Periodic incentives and penalties
Add a one-period bonus or penalty, and how it differs from the fixed lines on the salary.
On this page
Who is this lesson for?
For HR: give a bonus or a penalty for a specific period — without changing the salary structure.
The difference
| Fixed — salary components | Periodic — this list | |
|---|---|---|
| Where | On the employee salary (and reusable names in salary components). | HR → Incentives & Penalties. |
| When it repeats | Every generate, until you edit the salary. | Once, for the entry date’s payroll period. Add a new row next time you need it. |
| Examples | Housing, transport, insurance — the same every month. | Birthday bonus, a one-time penalty, extra this month only. |
| On the slip | Ordinary earnings / deductions. | Extra earning (incentive) or extra deduction (penalty), with the title you typed. |
Do not put a one-off bonus on the salary. Put it here. Do not put housing here — put it on the salary.
Before you start
- Permission to add incentives and penalties. To set Approved on save, you also need approve permission.
- The employee is already added. A salary is needed if the amount should appear on payroll.
Open the list (web)
From the menu: HR → Incentives & Penalties.
Each row: title, type (incentive or penalty), amount, employee, status, entry date. Filter by duration, status, and type. Click Add Incentive/Penalty.
Fill it (web)
| Field | What it is |
|---|---|
| Title | What you will see on the list and on the slip — example: Birthday bonus. |
| Type | Incentive adds to pay. Penalty deducts. |
| Amount | In the company payroll currency (you cannot pick another). Example: 500. |
| Entry date | The day this belongs to. The next generate whose period includes this date puts it on the slip. |
| Employee | Who receives the bonus or the deduction. You can pick more than one — each gets their own row. |
| Status | Admin with approve: you can save as Approved. Without it, the row stays Pending until someone approves it from the list. Rejected is not used on payroll. |
Example through this lesson: Sarah Ahmed, incentive, Birthday bonus, 500, 26 Oct 2026, approved.
Only approved rows whose entry date falls in the payroll period go onto the slip. Pending and rejected do not.
Read the record (web)
Open the row.
You see type, amount, entry date, employee, and status. Edit or change status from here or from the list.
Same from the app
Open Incentives & Penalties. Tap + (or New). Fill title, type (Incentive / Penalty), employee, amount, and entry date, then Save. Currency is the company payroll currency.
Open a row to see status, type, title, amount, date, and employee. Edit or Delete if you have permission. Approve a pending row from here or from the list.
When does it hit the salary?
On the next payroll you generate whose period includes the entry date. There is no extra box on generate — approved rows are always included. Details: generate payroll.
| What you do | What happens |
|---|---|
| Generate for that period | An approved incentive becomes an extra earning with your title (Birthday bonus 500). A penalty becomes an extra deduction. Net pay changes immediately on the slip. |
| Status is still Generated / Review / Locked | The amount is on the slip. The record is not marked used yet. |
| You mark the slip Paid | The amount is applied. The next generate will not add it again. |
| Entry date is outside the period | Skipped this run. It waits for the period that contains that date. |
| Pending or rejected | Skipped until (if ever) it is approved. |
What happens after you save?
- The row is on the list. Admin-created rows can be approved immediately.
- Nothing hits the salary until you generate payroll for a period that includes the entry date, with the row approved.
Common questions
Will this repeat next month?
No. Add a new row if you need it again. Recurring housing or transport belongs on the salary.
It did not appear on the slip?
Check Approved, then that the entry date sits inside that payroll period.
I generated twice without paying?
The slip still shows the same amount. It is marked used only when the slip is Paid.