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A new results-related bonus? Deadline approaching for a bonus plan with calendar year 2025 as the reference period

Newsflash

The system of non-recurring results-related benefits (the “results-related bonus”) allows for the granting of a tax-free bonus provided that collective results are achieved within a certain reference period by one or more companies or by a group of employees. When a company wishes to grant its employees a results-related bonus as a reward for collective results to be achieved in the period from 1 January 2025 to 31 December 2025, the relevant plan must be submitted by 30 April 2025 at the latest.

Results-related bonus: the concept in a nutshell

The employer may grant a results-related bonus to all employees of one or more companies or a specific group of employees, provided that specific uncertain collective objectives are achieved within a specific reference period of at least 3 months. CBA No. 90 requires that these collective objectives be ‘observable, transparent, definable, measurable, and verifiable’.

If the specified objectives are successfully achieved, the employer may pay out a results-related bonus in accordance with the other agreements of the bonus plan. As long as the results-related bonus does not exceed a certain maximum gross amount (for 2025, this maximum amount is EUR 4,164 gross), a special social security contribution by the employer equal to 33% and a special social security contribution by the employee equal to 13.07% will be due on this bonus. For tax purposes, the results-related bonus is exempt from taxes, which means that the employee effectively receives in his/her pocket a very favourable net amount.

Objectives

Since the creation of the results-related bonus system, companies have developed a variety of objectives tailored to the specific needs of the company. The Federal Public Service Employment, Labour and Social Dialogue (“FPS ELSD”) has, through its many approvals and rejections of accession acts, given concrete application modalities to CBA No. 90. The most notable policy change by the FPS ELSD was no longer accepting ‘day-to-day tasks’ as objectives, such as meeting deadlines, conducting correct reporting, cleanliness in the workplace, attending training sessions, achieving a minimum number of customer visits, etc. The FPS ELSD was particularly of the opinion that merely performing the work correctly and following the employer’s instructions are compensated by the employee’s ‘regular’ salary.

Currently, (1) economic objectives, (2) cost-saving objectives, (3) objectives aimed at achieving a certain degree of customer satisfaction, (4) objectives aimed at reducing absenteeism or work accidents, and finally (5) mobility objectives can be the subject of a CBA or accession act for granting a results-related bonus.

Timing

When the company plans to implement a new bonus plan for 2025, it is important to strictly monitor the timing. A bonus plan must be filed before one third of the reference period specified in the plan has elapsed, with the reference period corresponding to the period within which the collective objectives must be achieved.

This means concretely that a new bonus plan, whose objectives must be achieved in the period from 1 January 2025 to 31 December 2025, must be filed by 30 April 2025 at the latest.

Keep in mind that if there is a trade union delegation within the company for the group of beneficiary employees, the bonus plan must be implemented via a CBA. This CBA must therefore be signed by all parties involved and filed to the registry of the General Directorate Collective Labour Relations of the FPS ELSD before the deadline of 30 April 2025 has passed.

If there is no trade union delegation within the company for the group of employees concerned, a result-related bonus can also be granted via an accession act. However, the draft accession act must first be posted within the company for 15 calendar days, so that employees have the opportunity to comment on the content of the accession act. After this period, the accession act must also be filed to the registry of the General Directorate Collective Labour Relations of the FPS ELSD. Taking into account the 15 calendar days during which the draft accession act must be posted and the deadline of 30 April 2025, the employer must therefore calculate the necessary margin.

In any case, the FPS ELSD encourages electronic filing in both cases.

Important: The deadline of 30 April 2025 only applies to bonus plans whose objectives must be achieved between 1 January 2025 and 31 December 2025. If a bonus plan has a different reference period, the final filing date will also differ. For example, if a plan is concluded with the second half of 2025 as reference period, the plan must be submitted by 31 August 2025 at the latest. Therefore, drafting a plan for the first quarter of 2025 is currently late: this plan should have been submitted by 31 January 2025 at the latest.

Other formalities

We would also remind you that all formalities associated with granting a results-related bonus must be complied with. Specifically, the employer must ensure that the following documents are kept during the bonus year:

  • In case of implementation via accession act: proof that the accession act was handed over to the employees and that the comments register was subsequently posted for 15 days;
  • The approval of the accession act or the confirmation of registration of the CBA by the FPS ELSD;
  • Proof that the follow-up procedure was followed;
  • Proof that the objective(s) was/were achieved;
  • The information sheets that must be handed over to all employees involved upon payment of the results-related bonus (as well as in case of non-payment);
  • The detailed calculations of the benefit for each beneficiary;
  • The proofs of payment.

In case of inspection by the inspection services, these are also the items that are requested and controlled.

CBAs from 1 March 2025

In this context, it is finally important to note that all decisions from the General Directorate Collective Labour Relations regarding the handling of company collective bargaining agreements are sent via an electronic platform since 1 March 2025. Specifically, communications are sent to the e-Box Enterprise of the company and of the signatory employee organizations. This new method means that the trade unions co-signing a CBA must now also mention their company number. If no company number is known, the letter is sent to the central company number of the employee organization. This additional mention has now also been included in the model collective labour agreement for the granting of a results-based bonus, which the FPS ELSD provides on its website. It is therefore important to use the latest version of this model form.

Action point 

Employers who still want to set up a bonus plan for 2025 will need to start the preparation. Timing must not be overlooked: a bonus plan can indeed be implemented retroactively, but only up to 1/3 of the reference period. When developing the appropriate objectives, the employer must give further consideration to the vision of the FPS ELSD, where setting challenging economic objectives (revenue, profit, etc.) remains the safest choice. Finally, the employer will also need to comply with the necessary formalities during the bonus year.