Extra payments: Deciphering their calculation and secrets
The payment of extra payments in companies is a topic that generates many doubts, especially among those employees who have been in their position for less than a year. Often, these workers wonder how their extra payment has been calculated, while those with more seniority usually settle for the income without fully understanding its origin. We are going to break down the keys and general rules to better understand this important aspect of labor remuneration.
General rule of employment contracts
First of all, companies are obliged to pay two extra payments per year. One of them is paid at Christmas, and the other in a month that is set by agreement, generally in June or July. This is the basic rule that applies to most employment contracts.
Calculation of extra payments
The extra payment is generated annually. To receive a full payment, the employee must have worked for 12 months. This can be confusing, especially when an employee has worked only six months and is expecting to receive a full payout. In reality, they will have earned only half of both bonus payments, and this will be reflected in the amount received.
Some exceptions to the calculation of bonus payments
However, there are several exceptions that can change the amount or timing of the bonus payments. Depending on the collective agreement, you may be paid a fifteenth payment in March, or the bonus payments may be prorated over the 12 monthly payments of the year, meaning you would receive a portion of the bonus payment each month along with your monthly salary.
Bonus payment options
Some companies offer employees the freedom to choose how they want to receive their annual salary: whether in 12 or 14 monthly payments. This means that you can choose between receiving your bonus payment in two separate payments during the year or having it distributed to you monthly.
Agreements with half-yearly accrual
Some agreements stipulate a half-yearly accrual, where every six months worked you generate and receive a full extra payment. This makes financial understanding and planning easier for employees, since they receive an extra payment more frequently.
Frequently asked questions
A common question is what happens if you have been on sick leave (IT) in the last year. Unless the agreement or company agreement indicates otherwise, the amount of the extra payment will be reduced proportionally to the time you have been on sick leave.
Another common question is how much an extra payment corresponds to the monthly salary. Generally, it is calculated by dividing your gross annual salary by 14 (or the number of extra payments you are paid). It is normal for the net amount of the extra payment to be higher, since only the IRPF is withheld, and not the contributions, which are distributed monthly in each payroll.
Differences in pay
If you notice that you are earning less in your extra pay, it is most likely that your “normal” payroll has salary supplements that are not included in the calculation of the extra pay. These supplements can vary widely depending on the type of work and the specific agreement.
Termination and extra pay
If you leave the company and are under a regime of 14 or more payments, you must be paid the proportional part of what you earned in the termination. This ensures that you receive fair payment for the time worked, even if you do not complete the annual cycle.
Conclusions
Understanding the calculation and the keys to extra pay is essential for correct financial planning and to avoid surprises when receiving the income. Although the general rules are clear, the exceptions and particularities of each agreement can significantly influence the amount and frequency of extra pay. Therefore, it is important to know your agreement and your company’s policies to fully understand your remuneration.
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The National Court rejects the sanctioning of employees with the withdrawal of the “bonus” | GM integra RRHH – HR Partner – GMintegra RRHH