Template guide
Bonus Calculation Spreadsheet Template
This page captures template and workflow intent. It gives HR and finance teams a practical spreadsheet structure while linking back to calculators for formula checks.
Best next steps
- Bonus calculation software — commercial guide
- STIP calculator — scorecard testing
- Annual bonus calculator — salary-based formula
Method note: Results are estimates. Always compare with your plan document, payroll rules and employer policy.
Core columns for the spreadsheet
| Column | Purpose |
|---|---|
| Employee ID / role | Prevents payout rows from being disconnected from eligibility rules. |
| Salary or target bonus | Base amount used by bonus percentage or STIP formula. |
| Eligibility / proration | Handles new hires, departures and partial-year plans. |
| Company, team and individual factors | Supports STIP and annual incentive logic. |
| Cap and override reason | Controls payout maximum and creates audit trail. |
| Approval status | Separates draft calculations from payroll-ready numbers. |
Spreadsheet risk checklist
1
Protect formula cells.
Most payout errors come from overwritten formulas and hidden manual changes.
2
Keep assumptions visible.
Salary date, target bonus, company multiplier and proration period should not be buried.
3
Separate estimate from approved payout.
A calculator can support planning; payroll needs a controlled approved number.