The production bonus has always been a valuable tool for valuing employee commitment and sharing the results achieved by the company. But today, more than ever, it is also a strategic opportunity to transform a simple economic recognition into a powerful driver of organizational well-being. How? Through corporate welfare.
Bonuses in the paycheck or in welfare?
In the traditional form, the bonus is paid in the paycheck, but this involves an inevitable "cut" in value due to ordinary taxation: between taxes and contributions, the net amount received can be reduced by up to 40-50%. This is where the conversion into welfare comes into play: an alternative that allows the employee to enjoy the entire gross amount, completely tax-free, transforming it into services, reimbursements and concrete benefits.
Let's think about a bonus of 1,000 euros: in the paycheck it translates into approximately 600 euros net. If it is converted into welfare, there is 1,000 euros to spend entirely on goods and services, from groceries to children's school, from the gym to healthcare. A net gain in economic terms and quality of life.
This is why more and more companies are choosing to accompany employees in this direction, promoting a more equitable, flexible and well-being-oriented remuneration culture.
The context: a new work culture
As we saw in our article, the Censis-Eudaimon Report is clear: 85.8% of Italian workers consider increasing company benefits to be a priority to improve their quality of life. It is not just a question of remuneration: employees expect the company to take care of them even outside the professional perimeter, offering support in daily needs.
63.5% of workers believe that the company can do a lot to improve well-being in working life, and over 80% ask for concrete intervention by companies and institutions to address the difficulties of daily life.
These numbers tell of a profound change: welfare is no longer an “optional”, but a cultural lever to build trust, motivation and retention.
What does it mean to convert a bonus into welfare
The law allows you to convert all or part of the performance bonus into welfare credit. It is not a simple economic transfer, but a transformation: from a paycheck item to a resource that can be spent in a personalized way, according to individual needs.
The advantages are clear:
- The employee receives more real value
- The company benefits from a lower cost than the net equivalent in money.
- Both enjoy tax advantages.
The welfare credit can be used for school reimbursements (if you want to know more read here!) or health, transport subscriptions, sports or cultural activities, shopping vouchers, gift cards. A form of flexible remuneration, close to people's real lives.
Contractual welfare, on top or bonus?
The bonus can be converted into welfare according to three distinct logics, which are important to know:
- Contractual welfare: provided for by national or company agreements, it obliges the company to provide welfare services.
- Reward-based welfare: the reward is tied to individual or collective objectives.
- Welfare “on top”: additional benefits to the salary, often used to increase engagement.
In all cases, it is essential that access to welfare is simple and intuitive as we have already explained here, to ensure real use by employees. If it is not usable, the risk is that it will be perceived as a theoretical advantage only.
Welfare Experience: more value to welfare, more efficiency for the company
To make all this possible, suitable tools are needed. It is from this vision that Welfare Experience was born, the Eudaimon platform designed to efficiently manage the corporate welfare plan.
The strength of Welfare Experience lies in its ability to integrate the management of welfare credit, offering a clear and intuitive control center, simplify HR processes and offer employees an experience similar to that of digital consumer platforms: intuitive, accessible from mobile, full of options.
We are talking about over 40,000 available services, 18,000 affiliated facilities, gift cards from the main brands, cultural, sports and educational services. All with dedicated customer care, geolocation, iOS/Android app and the possibility of personalized agreements.
It is no coincidence that the average conversion rate of performance bonuses among Eudaimon customers reaches 81%, with peaks of up to 87% in co-designed projects: numbers that demonstrate how effective a well-built platform is to enhance employee bonuses
A choice that makes the difference
Choosing to convert the bonus into welfare is not just a fiscal decision. It is a gesture of trust, a sign of a concrete response from a population that feels listened to, understood and guided towards an advantageous option: it is an action that allows you to give real value to work and transform an economic bonus into something that truly improves the lives of your employees.
But for all this to really work, clarity, simplicity and speed are needed. Employees must be able to immediately understand the advantage of the conversion, have access to an intuitive and frictionless system, and receive clear and personalized communication. This is where an integrated platform makes the difference: it transforms a fiscal opportunity into a positive and engaging experience for the entire organization.