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VetVine Client Care

Posted On Jun 20, 2025

Updated On Jun 25, 2025

Holidays And Bonuses

Practice Management

This question was submitted during a past Practice Management webinar:

Question:
It's that time of year again, and my practice owner and I have been trying to decide how to handle our staff's expectation of a holiday bonus.  

We had given bonuses to staff members in the past (probably a bad precedent), but given the down turn of the economy, we cited economic issues for not giving a bonus the past couple of years. We had also made some staffing changes - reduced some employee's hours and restructured some job descriptions to maximize responsibilities given to our most productive employees (they were given small raises to keep in step with their increased responsibilities).  

We have had a small holiday party the past couple of years - we've gathered at our practice owner's home for a nice party. This year, the troops are restless. Our practice is busier, they have been working harder and they have hinted that bonuses should be forthcoming. How do you suggest we handle this? From a financial standpoint, we don't seem to be on good ground for giving out bonuses to the entire staff.

Answer by Sandy Walsh, RVT, CVPM:
Holiday bonuses can be tricky. Personally, I am not in favor of them because they lead to an entitlement mentally that has little or nothing to do with individual or practice performance. Once you go down that road it is difficult to go back. Although it is important to recognize the team for their efforts throughout the year holiday onuses are difficult to administer fairly and can backfire as employees frequently expect more bonus than the practice can afford. I much prefer a bonus structure that is based on the practices profitability and one that is paid out either monthly or quarterly throughout the year. This way the bonus is tied to something other than the traditional holiday guilt. If you cannot afford a holiday bonus, let the team know that. There are so many ways to recognize them during the holidays that won't break the bank. Be creative.