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Distribution Rules Explained

How awards are divided among employees.

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Written by Guy Halperin
Updated over 3 months ago

Distribution Rules Explained

Distribution rules determine how the award pool is split among eligible employees. Your plan uses one of these methods.


Compensation

Awards proportional to your salary/compensation. Higher paid employees get proportionally larger awards.

Example: If you earn 10% of total team comp, you get 10% of pool.


Role-Based

Different roles have different award structures. Your position determines your potential award.

Example: Technicians vs. Sales vs. Management tiers.


Even Distribution

Pool split equally among all eligible employees. Everyone gets the same amount regardless of role.

Example: $10,000 pool ÷ 10 people = $1,000 each.


Performance-Based (Custom)

Your KPI scores determine your share. Better performance = larger slice of the pool, weighted by KPI importance.


Billable Hours

Awards based on hours worked/billed. More hours = larger share. Common in service industries.


Tenure

Length of employment affects award size. Longer tenure may mean a larger multiplier.


Rating

Performance ratings factor into calculations. Higher ratings = larger awards.


Where to See Your Plan's Rules

Check the Distribution Rules section in your plan's Plan Summary tab.

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