Discretionary Performance Incentive Letter

[Date]

[Employee’s Full Name]

Employee ID:[Employee ID]

[Job Title]

Dear [Employee Name]

We are pleased to inform you that, in addition to your salary, you are eligible for a Discretionary Performance Incentive w.e.f. [Month Name] [Day], [Year]. Your incentive will be computed on Net Revenue* generated by you in excess of your gross monthly salary as per the below mentioned criteria:

Multiple of Gross Salary =>Incentive on Excess Revenue (%)

Between 3 to 4 => 10%

Between 4 to 5 => 15%

Above 5=> 20%

*Net Revenue to exclude consumables, materials, cost of outsourced services, outside referrals for services if any.

Kindly note that the Organization reserves the right to withdraw this scheme at any time. Also, the Discretionary Performance Incentive is not included in calculation of end of service benefits i.e. Gratuity. Other terms and conditions will remain same as per the employment contract.

Kindly sign and submit a copy of this letter as a token of acceptance.

Yours sincerely,