What is a sign-on bonus?

A sign-on bonus is a sum of money given to a new employee as an incentive to join a company. Typically, a sign-on bonus is given after a candidate accepts the job offer. Some sign-on bonuses may be given after a trial period, such as sixty days or one full pay period.

Sign-on bonuses can be given in many different industries. Often, if a company is having difficulty filling a role, they may give a sign-on bonus to incentive candidates to apply. This can occur during seasonal work demands. Amazon often uses sign-on bonuses to incentivize new drivers to work during the busy holiday season.