Year-End Bonus for Temporary Workers: When Are You Eligible?

When are you entitled to a year-end bonus?

To be eligible for a year-end bonus as a temporary worker, you must have worked a sufficient number of days or hours during the reference period:

• Five-day workweek: at least 65 days or 494 hours.
• Six-day workweek: at least 78 days or 494 hours.

You don't have to meet both requirements. It's enough to reach the required number of days or hours.

The reference period runs from July 1 through June 30 of the following year. You will generally receive the year-end bonus in December after this period ends.

What exceptions apply?

In certain situations, other days may also count, or more flexible conditions may apply:

• Permanent Employment: Will you start working permanently for the same employer immediately after your temporary assignment? If so, you may be eligible for a bonus after 60 days or 456 hours (five-day workweek), or 72 days or 456 hours (six-day workweek).
• Economic unemployment: up to five days may be automatically counted toward the total.
• Work-related accident: Certain days of incapacity for work may count toward your benefits. To have these days counted, you must submit a certificate from the insurance company yourself.
• Flexi-job: Days and hours you work as a flexi-jobber through a temporary employment agency also count toward your entitlement to a benefit. The flexi-wage is not included in the calculation of the benefit amount.

How much is your year-end bonus as a temporary worker?

The gross year-end bonus amounts to 8.33% of your gross salary that is eligible during the reference period.

Social security contributions and withholding tax are deducted from this amount. As a result, you will receive approximately 66% of your gross year-end bonus.

You can find the exact calculation on your premium statement.

When and how will you receive your year-end bonus?

If you meet the eligibility requirements, you will receive a premium statement from the Social Fund for Temporary Workers in December.

To receive your premium, there is one more step you need to take:

• Are you a member of a union? Submit your original premium document to your union. They will handle the payment.
• Not a union member? Fill out your original contribution form, sign it, and send it back to the Social Fund. The contribution will then be deposited into your bank account.

Payments are typically made starting in December through the unions and starting in January through the Social Fund.

Important: Have you moved? Be sure to notify the Social Fund of your new address in a timely manner so that your premium statement is delivered correctly.

What if you don't receive a premium statement?

If you haven't received your bonus statement by the end of December, even though you believe you are entitled to a year-end bonus, please contact the Social Fund for Temporary Workers.

Even if you have lost your document, you can request a duplicate from the Fund. Please note that this is only possible several months after the original mailing.

In addition, your year-end bonus is only valid for three years. So be sure to apply for your bonus in a timely manner!

Do you have to report your year-end bonus on your tax return?

Yes. Your year-end bonus is taxable in the year it is actually paid out. You will receive a Form 281.10 for this, which you can use when filing your tax return.

Do you have any questions about your year-end bonus?

Do you have questions about your performance or pay stubs as a temporary worker? The payroll experts at Update-pro are happy to help.

If you have any questions about the award, your benefit statement, or the payment, please contact the Social Fund for Temporary Workers directly.

Want to learn more about working through Update-pro? Check out our information for employees.