Bonus schemes: extra pay for beating a target
A bonus scheme adds to time rate when a target is beaten. Work out a bonus for time saved and share out a group bonus.
Task 1Time allowed and time saved4 questions
A bonus scheme pays time rate, plus extra when a worker beats a target. A common target is a standard time: the time one unit should take.
- Time allowed: the units made, times the standard time for one unit
- Time saved: the time allowed, less the hours worked
- Bonus: an agreed share of the time saved, paid at the basic rate
Priya assembles chairs. The standard time is 2 hours a chair. Her basic rate is £15 an hour, and her bonus is half of the time saved. In week 1 she assembles 23 chairs in 38 hours.
Task 2Gross pay with a bonus3 questions
Task 3A group bonus2 questions