Different types of incentive pay have different financial impacts on employees and employers. For example, merit pay provides employees with increased compensation for the duration of their employment whereas a bonus is a one-time payment. How would you identify when merit pay would be appropriate and when bonuses would be important? Provide an example of a situation where merit pay would be more appropriate than bonus pay. Provide an example of a situation where a bonus would be more appropriate than merit pay. If you were in an organization that was using merit pay inappropriately and you wanted to transition to bonuses, how would you go about implementing such a transition and communicating it to employees?