MANAGING BONUSES PRUDENTLY

The word bonus evokes happy thoughts and feelings among workers whenever it is to be paid. This is because it is extra income. Bonuses are additional entitlements employees earn aside from their normal salary and allowances. In other words bonuses equate to more money coming in.

Now there are different types of bonuses, the commonest of which are Performance bonuses, paid out after performance appraisals at the end of the Company’s financial year; and Thirteenth month Year-end bonuses, usually an additional month’s salary paid in December. Bonuses vary from organization to organization, and depend on what is stated in your employment contract.

Most employees tend to see these bonus payments as additional spending money, meant to be ploughed into meeting your living expenses. Nothing can be further from the truth. Bonuses rather, are meant to be invested into profitable ventures that can generate wealth.

Your bonus is a lump sum of money, paid in addition to your monthly entitlement. Don’t mix your bonus with salary and proceed to spend all on your living. This strategy will not lead to wealth. Bonuses should be added to what you have saved for investment and correspondingly deployed.

BEYOND GOAL SETTING

 One cannot overemphasize the importance of setting goals if you want to be rich and successful. Those who succeed go beyond merely wishing, hoping and praying to carve out a written list of things they want to have or become. In fact those who have written goals are ninety percent more likely to achieve them than those who don’t.

Now these goals must be SMART (Specific, Measurable, Agreed, Realistic and Time Bound). Take time right now to run your goals through this checklist. Amend your goals accordingly till they conform. This will bring clarity and add drive and energy to their pursuit. For example, “I want to lose weight,” as a goal is not ideal. Instead your goal could be, “I want to weigh fifteen kilos less on the last day of this year.” This is a much better statement of intent.

Many people fail to achieve their goals because they are ignorant of the additional steps needed. They set goals and do nothing about it; expecting to achieve. This will only lead to frustration. In order to achieve your goals you must go beyond goal setting and incorporate the following activities and efforts as part of your routine:

Firstly the road to achievement starts with looking through your written goals at least twice daily. This can be once in the morning and once at night. Take a few minutes out of your day for this process of daily renewal. Don’t be like most people who read through their goals when they set them, and afterward neglect to check it again. Your goals take on a life of their own when you constantly study them.

BEYOND WEALTH CREATION

Bill Gates has for the last twenty years been amongst the richest men on the planet. Currently worth Eighty Billion Dollars he has also earned the distinction of being the planet’s greatest giver. Bill and Melinda Gates Foundation havegiven to date more than Twenty-Nine Billion Dollars to worthwhile causes.

One of the most touching aspect of this extraordinary individual is that he has created another passion and hobby that drives him. This drives him even after he made stupendous wealth; the desire to make this world a better place.

Warren Buffet, in his citation for the Forbes Philanthropy Award to Bill Gates recently remarked that the Gates’ work long hours on their foundation. In fact their foundation is not just a whim; they manage it just as they would their business, spending long hours and putting in lots of effort.