You’ve decided to put real money behind employee recognition. Good call—when done right, it actually works. But now you’re staring at Bonusly’s admin panel, wondering how to set fair, realistic monthly recognition budgets for different departments. You don’t want to just copy-paste last year’s numbers, and you don’t want to set off a stampede of “Why does Marketing get more than us?” messages.
This guide is for team leads, HR folks, and anyone who’s been handed the keys to Bonusly’s budget settings. Let’s walk through a no-nonsense process to get your budgets set—without making it a big production or falling for shiny HR buzzwords.
1. Understand How Bonusly Budgets Actually Work
First, if you’re new to Bonusly: it’s a platform that lets employees give each other small bonuses as recognition. Each person gets a monthly allowance (budget) to give away. You’re here to decide how big that allowance should be, and if it should differ between departments.
Here’s what really matters: - Budgets are “give” budgets, not “receive” budgets. You decide how much people can give out in a month—not how much they can rack up. - Unused budget usually disappears at the end of the month. No “saving up” for one big splurge. - You set budgets for groups (departments, locations, teams) or the whole company.
Pro tip: Don’t get hung up on the “default” budget Bonusly suggests. It’s usually a round number, not some magic formula.
2. Decide: Equal Budgets or Department-Specific?
This is the big fork in the road.
Option 1: Everyone Gets the Same
- Simple. No arguments about fairness.
- Great for smaller companies or teams with similar job types.
Option 2: Department-Specific Budgets
- Useful if some groups are bigger or have different recognition cultures.
- Can get political, fast. Be ready to explain your logic.
What not to do: Don’t set budgets based on department “importance” (whatever that means). Recognition isn’t a zero-sum game.
3. Gather Some Real Numbers
Before you start handing out numbers, pull some data:
- How many people are in each department?
- How much did each group actually use last month/quarter?
- What’s your total recognition budget for the company? (If you don’t know, ask Finance. Don’t just guess.)
- Are there departments with lots of part-timers or remote folks? That can affect usage.
Why bother? If last year’s budget mostly went unused, you’re probably over-budgeting. On the other hand, if people run out of budget by the 20th every month, you need to bump it up.
4. Rough Out Your Budget Plan
The Simple Way (everyone gets the same):
- Decide your per-person monthly “give” budget (e.g., $10, $20, $30).
- Multiply by your headcount.
- Check: Does this fit your company-wide recognition budget?
The Department-Specific Way:
- List departments with headcounts.
- Estimate a per-person monthly budget for each one.
- Tip: Start with the same number everywhere, adjust only if you have a real reason.
- Examples of good reasons: Sales is twice the size of Design, or Customer Support uses Bonusly a lot more.
- Multiply per-person by department size.
- Add it up—does it fit your company-wide recognition budget?
Pro tip: If one department rarely uses Bonusly, don’t cut their budget to the bone—sometimes it’s a culture or awareness problem, not a budget issue.
5. Set the Budgets in Bonusly
Now for the part that’s actually in the software.
How to Set Department Budgets in Bonusly
- Go to Admin → Allowances.
- Choose “Custom Budgets.”
- You’ll see a list of groups or departments.
- Enter the monthly allowance for each department or group.
- Save.
- Test with a few users (or yourself if you can) to make sure it applies correctly.
Heads up: If you make a mistake here, it’s not the end of the world. You can change budgets any time, and the changes take effect the next month.
6. Communicate (But Don’t Over-Explain)
When you change budgets, people will notice—even if it’s just an extra $5 a month.
- Be clear, not defensive. “We’ve updated Bonusly budgets for each department based on usage and feedback.”
- Don’t get into the weeds about why Marketing got $2 more than Engineering. If you’ve set fair, mostly equal budgets, most people won’t care.
- Remind everyone how Bonusly works. Many people forget their budget resets each month.
7. Review and Adjust (Seriously, Don’t Skip This)
The first numbers you pick won’t be perfect. That’s fine. Set a reminder for yourself in 3–6 months:
- Check usage by department again. Are some groups out of budget early? Are budgets going unused?
- Ask for feedback. A quick pulse survey does wonders.
- Adjust as needed. It’s not a set-it-and-forget-it thing.
What to ignore: Wild swings in usage in the first month. People might test the new limits, then settle down.
8. Common Pitfalls (and How to Dodge Them)
Here’s where most teams trip up:
- “Set it and forget it.” Budgets should change as your company or culture does.
- Playing favorites. If someone asks for a much higher department budget, make them show you real usage data.
- Making it too complicated. Resist the urge to tweak budgets for every sub-team. Simpler is almost always better.
- Confusing recognition with bonuses. Bonusly is about peer-to-peer gratitude, not comp.
9. Quick Reference: What Actually Works
- Start simple. Equal budgets are fine unless you have a clear reason otherwise.
- Data beats gut feelings. Use last year’s usage as your north star.
- Iterate. Adjust up or down as you see how people use it.
- Communicate changes, but don’t overthink it. Most people just want to know what their monthly total is.
Wrapping Up
Setting monthly recognition budgets in Bonusly shouldn’t eat up a whole afternoon—or spark office drama. Pick a number you can justify, keep it simple, and check back in a few months. Don’t wait for “perfect”—just get it close, see what happens, and tweak as you go. That’s how real teams actually get stuff done.