What are profit sharing plans? List and describe at least two advantages and disadvantages of profit sharing plans.© BrainMass Inc. brainmass.com June 4, 2020, 12:05 am ad1c9bdddf
What are profit sharing plans? List and describe at least two advantages and disadvantages of profit sharing plans.
Profit Sharing plans are incentive based compensation programs used by organizations to reward employees by awarding them a certain percentage of the company's profits. Profit sharing plans are usually designed in a way that organizations contribute a percentage of its pre-tax profits to a pool that will be distributed among eligible employees at a defined time. From experience, the amount awarded to each eligible employee may be based by ...
This solution discusses profit shairng plans in 354 words.