Topic Thread

Project Manager Incentive/Bonus Programs

  • 1.  Project Manager Incentive/Bonus Programs

    Posted 5 days ago
    We are looking to implement a Project Manager Incentive/Bonus program.  We want to structure it so they cover their costs and portion of applicable Overhead and when that is achieved, then put them into a "bonus".  Does anyone have this program in place and if so mind sharing any tips or formulas?  Any help is greatly appreciated.

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    Kimberly Peterson
    EVP
    Beeler Construction, Inc.
    Menomonee Falls WI
    (262) 252-7000
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  • 2.  RE: Project Manager Incentive/Bonus Programs

    Posted 4 days ago
      |   view attached

    Hey Kimberly,

    We just implemented a PM bonus program this year, in prior years it had just been discretionary. We do ours based on net profit and have it weighted mostly by revenue and gross margin contributed. I attached an example.

    Thanks,
    Jen



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    Jen Sullivan
    Controller
    Dovetail General Contractors
    Seattle WA
    (206) 545-0722
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    Attachment(s)



  • 3.  RE: Project Manager Incentive/Bonus Programs

    Posted 3 days ago
    Jen - Thanks for sharing the spreadsheet!  Where does the superintendent fit into this?  Do you handle that differently?

    Thanks

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    LeeAnn Old CCIFP
    Chief Financial Officer
    Sussex Development Corp.
    Virginia Beach VA
    (757) 422-2400
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  • 4.  RE: Project Manager Incentive/Bonus Programs

    Posted 3 days ago
      |   view attached
    See the attached.

    This profit sharing example includes the entire company as staff are pooled into 3 categories.  We wanted to make it as simple as possible for both the staff to track as well as accounting.

    Thanks,

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    Richard Baldini
    Chief Financial Officer
    Brexton
    Columbus OH
    (614) 441-4110
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    Attachment(s)



  • 5.  RE: Project Manager Incentive/Bonus Programs

    Posted 3 days ago
    We have superintendents on a different bonus structure, mostly fixed with some discretionary.

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    Jen Sullivan
    Controller
    Dovetail General Contractors
    Seattle WA
    (206) 545-0722
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  • 6.  RE: Project Manager Incentive/Bonus Programs

    Posted 3 days ago
      |   view attached
    I only included the PM example, but here is how we have broken out the entire company. The goal would be to hit budget and have 10% in bonuses paid out across the company. There would be the PMs and executive office management at a percentage, with superintendents/carpenters/office staff at a fixed rate. Then there would be a discretionary pool to use as needed to recognize high performers.


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    Jen Sullivan
    Controller
    Dovetail General Contractors
    Seattle WA
    (206) 545-0722
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    Attachment(s)