What is the correct accounting name for incentive?
submitted by gydamae

KSR

If I understand what you're asking, in accounting terms, an incentive could be called a reward or compensation. You could call it employee benefits or incentive expenses in the financial statements.

performance_financials

I'd call it a reward or bonus. If you're talking about something a company gives employees to motivate them, at least. You'd record that as an expense, since it's being paid out by the company.

shift tab

If you're talking about an incentive for paying off a loan early, you could just call that an incentive or a discount. For example, you may give your clients a 5% discount for paying off their accounts early. You'd record that as an expense on your books.