← HR Metrics·Compensation & Benefits
Variable Pay Payout Multiple
Realized payout as a multiple of the bonus target (1.0 = paid at target).
How it’s computed
actual_payout / target_bonus
What the evidence shows
Evidence (effect sizes, priors, validity) is syncing from Principia.
Run it on your data
This metric is computed in the People Analytics Toolbox on your own numbers. See pricing — posted, no quotes.
sources: toolbox:metrics-catalog
What the literature says
The measurement literature behind this signal — sourced, so you can defend it.
“Target pay will align to the overall corporate pay philosophy. Target pay levels will be set at the job level, not at the incumbent level. Actual pay levels will aim to differentiate between top performers and bottom performers. The target total cash compensation (TTCC) can vary…”
— Compensatingthesalesforcethirdeditionaprmatch 59%
“TI-Linked Bonus—Hurdle Bonus plans can use the same linkage methods as commission plans, such as hurdles, multipliers, and matrices. Bonus plans can use hurdles to tie two or more performance measures together. As illustrated in Figure 5-45 , the retention rate of current…”
— Compensatingthesalesforceapracticalguidematch 58%
“Target PayIn Figure 7.9 , the midpoint is defined as a market reference point (MRP) (see “Midpoints,” “Control Points,” and “Market Reference Ranges” above). Whereas the range itself is fairly typical, the approach to pay determination focuses not on what kind of increase the…”
— The Compensation Handbook (6th ed.)match 58%
Resources: Compensatingthesalesforcethirdeditionapr · Compensatingthesalesforceapracticalguide · The Compensation Handbook (6th ed.)