eSignature Legitimateness for Company Bonus Letter in Mexico

How to eSign a document: e-signature legitimateness for Company Bonus Letter in Mexico

one of the many questions about sign on or signing bonus when you get a new job is what is the signing bonus in this or that company how does the sign on bonus work is it taxable is a 10k sign on bonus considered a good bonus is a sign on bonus a contract that requires you to return the money once paid to you and how it's paid and so on so in this video i'll go over the most popular questions that i've seen on the internet and i will summarize my answers in a short video like this so take a look at the timestamps that i saved for your convenience as well so with that said let's get started as labor becomes increasingly scarce a variety of employers begin offering bonuses to entice workers of different levels from trash pickers to truck drivers spreading this practice further to blue collar employees but when everyone offers money in a rush to fill vacancies the bonus loses its clout and employees expect it to become more of a transactional benefit meaning nothing more than a few extra dollars that will be taxed later and if you are lucky enough to work for the company for more than 12 months you will not have to return anything to your employer the idea was to reap the most benefits attracting the best candidates on the market and keep them at work for longer periods however no matter how much money you were paid it's difficult to buy loyalty today if the company the team corporate culture and the tasks suck signing bonuses were expected to reach record highs in 2022 for prolific job candidates sport players top execs and highly sought after talents primarily working in tech and finance industry i could just say fintech industry tom brady made nearly 147 million dollars in 22 seasons playing an nfl excluding his base salary and other incentives typical corporate incentives are flat amount that is tied to your exact goals set by the board so these amounts vary from company to company but as an example ross brewer the ceo of walgreens got signing bonus of 25 minutes when she signed a contract to work as a ceo this bonus is similar to performance bonus that was talked about before you started working in the company and she will likely get another bonus at the end of the year as part of the factual performance plan after she executes it however everyone who receives a signing bonus from their employer must stay with the team or with the company regardless of their will to continue working there or not speaking of returning the bonus in case you want to leave your employer before your bonding period ends so signing bonuses are not kind of a dead money that you were paid in exchange for your continued loyalty these are not simple performance bonus that is guaranteed to you based on your star performance it's trickier than this and it's changing with the job market and the economy so the higher the stakes the more likely the company will enforce legal obligations to make you pay back everything sign your new employment contract with caution if you don't want to end up paying fines for breaching it likewise if you sign a non-compete agreement after leaving your job for any reason including being fired or laid off clawback provisions can be invoked as a result of a bridge of nda agreements if you want to help this video to get its own bonus here on youtube hit the like button follow my channel and turn on the bell not to miss my future useful videos about how companies work and feel free to ask questions if i haven't covered anything specific to your situation i'll do my best to answer them or someone else from the channel community would do so hopefully in the hr and legal fields a clawback is a provision in which a an employer withholds incentive-based pay from an employee due to misconduct or declining profits and may even come with a penalty here's an example of nike clawback provision any bonus or equity can be taken back and any amount that remains unpaid for more than 30 days after demand by the company will accrue interest at the rate of 9 per year until paid therefore including a club at class simply makes it financially prohibitive for the individual to leave or engage in fraudulent actions and inappropriate behaviors here is another example of how clawback agreement works consider this high profile scandal involving wells fargo top execs when a ceo refunded the company about 69 dollars and ahead of another community banking division paid back 67 million dollars due to accounts scam that took place in the bank in which well fargo staff was forced to open up around 2 million accounts and credit cards without customers consent making this case the largest clawback repayment in u.s banking history but anyways it's not enough to cover the three billion dollar settlement payment that the wells fargo now needs to pay so why do companies enforce clawback provisions into employees contracts well first of all to restore public trust and recover losses they also do it to prohibit employees with insiders information from crossing the street to join competitors and thus creating a disincentive to people to switch jobs so therefore if you were offered a signing bonus for the first time it should make you think twice before you say yes to your new employer and before you want to quit your job in six months because by offering you this golden hello money the company tells you that they have a more meticulous candidate screening processes than other employers as an example so unless you are at the top of the corporate ladder you are unlikely to be able to negotiate the welcome bonus and you are even less likely to be able to negotiate it if it wasn't initially offered to you during your interviewing stage even if you are expecting a welcome bonus the labor market will eventually tank one day when economic recessions happen the only usual suspects that receive those bonuses are top execs professional athletes military performance and barbarians fighting at war or if you're a truly rare individual with skills that are in high demand regardless of the economy so if you're wondering how much a good signing bonus is let's look at some numbers as well in 2020 more than 77 percent of ivy league graduates received a signing bonus before they even joined a firm depending on the industry a top business school grad starting salary would be around 200k per year including a typical 50k welcome bonus these amounts may vary and go up to 100k in some rare cases i've seen this amazon employee mentioning in one of the forums that he was paid 65k as a welcome bonus plus 7k as relocation assistance so it should give you some food for thought when you consider what's the what is the good amount of signing bonus you see amazon is not all that bad to some of its employees but i'm curious what amazon's true expectations were for this employee and i suppose they must leave and work in the office after this signing bonus also keep in mind that most employees are tax free while on international assignments and they have to pay taxes based on their native tax legislation however my battery died however depending on the host country you may have some outstanding income tax liability for several years if you choose to terminate your employment while being on the international assignment and you will also be required to pay any excess not covered by the corporation from the date of your termination and onward so nevertheless this is a different topic that involves taxation but the idea is clear everything will be taxed and there is no straightforward way to ignore the legislation and ignore paying back your employer and therefore don't follow any internet advice that suggests you to ignore the debt that you owe to your employer hoping that they will not pursue any legal actions against you so even if it's financially costly to make you return the money keep in mind that everything remains in your records and this may harm your career in the long run hopefully i was able to answer some of your questions don't be shy to comment and ask anything that i didn't cover and feel free to add me on instagram and linkedin as well i will leave all the links down in the description thank you guys so much for watching like and sub the channel to stay educated on how companies work and i'll see you in the next video bye