Stock Bonus Plan

Stock Bonus Plan -  An incentive plan and mechanism,  DC or defined contribution plan,  in and through which company contributions are distributable in the form of company stock. An employee-benefit plan whereby part of the employees' compensation is in the form of the employer's stock. Front-liners, to executives, even officers  view monetary reward as incentives and motivators to do more, work harder, longer, to increase morale, productivity and profits. Bonuses are typically given to entice and inspire, reward and recognize. Tangible financial reward for increased productivity empowers the working environment and bottom line. A commonplace method to rewarding and compensating senior and top executives. As opposed to only focusing in on cash as reward, offering company stock options/plans and contributions can not only reward but also boost performance.