An employee may receive a bonus award in the form of paid administrative leave. a. This Bonus Policy outlines the criteria and process for awarding bonuses to ensure transparency and fairness.What is a Bonus Plan? A bonus plan is an agreement between the employer and employee to pay out a predetermined amount of money based on performance. Please see our Forms page for forms related to or mentioned in the policies below. D. Eligibility for participation in an incentive plan: 1. This employee bonus policy template is ready to be tailored to your company's needs and can be a starting point for setting up your employment policies.