Client wants to pay me a bonus

[singhr]

Hi guys,

I am looking at a contract at the moment where the client wants to put an incentive in place to stop me going awol/jumping ship for better rate etc.

they are going to call it a loyalty bonus and will be paid at the end of the contract, so that if I don't complete the assignment I forefit the bonus.

It sounds like another pointer towards being outside of IR35 on account of there is financial risk for me. ie. if I don't complete the assignment, I don't get paid but maybe there is a flip side to it.

do any of you lot have experience of this/views on implications of accepting it?

[norrahe]

Hi guys,

I am looking at a contract at the moment where the client wants to put an incentive in place to stop me going awol/jumping ship for better rate etc.

they are going to call it a loyalty bonus and will be paid at the end of the contract, so that if I don't complete the assignment I forefit the bonus.

It sounds like another pointer towards being outside of IR35 on account of there is financial risk for me. ie. if I don't complete the assignment, I don't get paid but maybe there is a flip side to it.

do any of you lot have experience of this/views on implications of accepting it?

I had that in my last contract, spoke to my accountant and it is perfectly fine.

Only thing you have to do is invoice them for the incentivisation.

[The Wikir Man]

I would be wary of having it termed a "bonus" - my last Qdos contract review picked up terms like "additional call out charges" which they said were permie-type benefits.

Include it in the contract as a milestone payment due after successful completion of the initial contract term instead - same thing, slightly different terminology.

[cojak]

I had that in my last contract, spoke to my accountant and it is perfectly fine.

Only thing you have to do is invoice them for the incentivisation.

WTS

Don't call it a bonus on your invoice. mine was called a completion payment.

[Qdos Contractor]

I would be wary of having it termed a "bonus" - my last Qdos contract review picked up terms like "additional call out charges" which they said were permie-type benefits.

Include it in the contract as a milestone payment due after successful completion of the initial contract term instead - same thing, slightly different terminology.

WHS

[Sockpuppet]

WHS

Technically that was WIS (What I Said)

[Sockpuppet]

Do you guys itemise stuff.

Usually I just put "Professional Services Rendered"

[The Wikir Man]

Technically that was WIS (What I Said)

Not quite, since my post was not based on discussions about a bonus

[Qdos Contractor]

Technically that was WIS (What I Said)

Or technically WHSIS?

[Sockpuppet]

Or technically WHSIS?

Dammit. Well played Qdos, well played