Amazon Sign On Bonus | How Does It Work & How Much Is It?

An Amazon warehouse worker moving a small box along the conveyer belt

For the past few years, Amazon has been one of those companies advertising for sign-on bonuses in an effort to get more employees. And to be fair, any time we hear the term “bonus,” our ears perk up.

But what exactly is the Amazon sign-on bonus, and how does it work?

If Amazon is on your radar for a new employment opportunity, you’re definitely going to want to learn about the sign-on bonus, how it works, and whether or not you’re even eligible for this great extra.

What Is A Sign-On Bonus?

Before we dive into the ins and outs of Amazon’s sign-on bonus, we need to discuss what a sign-on bonus actually is.

A sign-on bonus is exactly how it sounds: a limited-time compensation received once you “sign on” to the company. Essentially, they will pay new hires more money (or other kinds of incentives, like stock options) once hired.

Sign-on bonuses are designed to encourage individuals to apply. They’re typically offered to full-time employees, although this can be a part-time perk. They may be available during the holiday season when more employees are necessary.

Basics Of The Amazon Signing Bonus

A female warehouse worker

Amazon offers new hires and returning associates sign-on bonuses. Amazon warehouse workers currently employed are not entitled to compensation. But don’t think that you should quit and re-apply. After leaving an Amazon job, getting hired can easily take longer than a year, and the bonuses may dry up within that timeframe. It’s simply not worth it.

— Sign-On Bonus Amount

The amount of the bonus payment will change depending on the position. For example, warehouse workers (less than L4, in Amazon worker terms) can receive anywhere between $1,000 and $3,000. On the other hand, L4+ employees can make $4,000 to $5,000.

Keep in mind that every location is different, though. While each warehouse will offer a competitive wage that is relatively the same, the bonus payments may not be the same. Some locations may not be engaging in the sign-on bonuses whatsoever, so it is essential to check beforehand.

— How Bonuses Are Paid Out

So you’ve decided to become part of this global customer fulfillment company. Great! Now you’re wondering — Where’s the money?

While it would be nice to get the bonus as a lump sum, that rarely happens (except for certain management positions). It is far more likely for the bonus to be paid out in installments.

For example, a $3,000 bonus may be distributed as $1,000 after the initial 30 days and the extra $2,000 after 180 days. This is just an example, of course. The payments may be distributed in a smaller amount over a lengthier period.

Why does this happen? It’s all to save the company’s back. They don’t want to payout lump sums to new hires, only for them to quit right after.

It also saves your skin, too. You see, if you get a lump sum (which some positions do) and quit before the one-year mark, you will have to pay the bonus back. You don’t want to find yourself in this sticky predicament, especially if you’re newly unemployed.

Amazon Sign-On Bonus Eligibility

As long as the warehouse participates, any new hire should be eligible for the Amazon sign-on bonus. However, keep in mind that the amount can differ depending on the position, schedule, and hire date.

For instance, full-time warehouse jobs with an overnight schedule may be eligible for the $3,000 bonus, while an associate working during the daytime may only receive $1,000.

Rehires are also eligible for the sign-on bonus. However, it is essential to note that the rehiring process can take a relatively long time. It could take so long that you end up missing out on the sign-on bonus altogether.

Transferring associates are not eligible for the sign-on bonus. So, a worker going from a job in Maryland to a career in New York will not be able to receive the payment.

Why Is Amazon Giving A Signing Bonus?

An Amazon Prime delivery van

Three significant factors are driving the Amazon sign-on bonus.

  1. Pandemic. The pandemic made it challenging to find employees in general. Amazon decided to create the sign-on incentive to offset the number of workers who were either too sick to work or chose to quit for safety purposes.
  2. Seasonal. Seasonal employees are critical in the peak season, especially in a warehouse such as Amazon. To encourage new hires to sign up for seasonal jobs at Amazon, they created the sign-on bonus.
  3. Options. Amazon may be the leading retailer across the globe, but that doesn’t mean they are the only option for warehouse work. With so much competition in this day and age, a sign-on bonus (paired with a positive working environment, healthcare benefits, etc.) can help Amazon stand apart from the crowd.

How To Claim Your Amazon Sign On Bonus

Every location will have its own rules and regulations regarding the sign-on bonus. There are two critical things to keep in mind for claiming, though:

  • Start date. Some Amazon warehouses require new hires to begin working before a specific date to be eligible for the bonus payment.
  • Length of employment. As mentioned previously, bonuses are paid out in installments for most workers. You will need to wait for a specific amount of time before receiving your compensation (30, 60, 90 days).

Keep in mind that the bonus may not show up precisely after the 30, 60, or 90-day mark. This doesn’t mean you are going to miss out on the bonus. Sometimes, the compensation can take up to a week to show up after payday.

If you are a new hire at Amazon, fulfilling online shopping custom orders, working with delivery stations, etc., and have not received your bonus, speak to the shift supervisor, vice president, human resources, or another person that can help you locate your missing bonus.

Other Amazon Bonuses For Employees

The sign-on bonus is not the only benefit offered to Amazon employees. There are three other options: vaccination bonus, referral bonus, and weekly attendance bonus. Let’s take a closer look:

  • Vaccination bonus. Employees that have received vaccination for COVID-10 are eligible for a $100 bonus with Amazon.
  • Referral bonus. Current employees that refer someone for the job will receive $500 after the referred candidate has worked a minimum of 60 days. Keep in mind that your information must be placed on the individual’s application to be eligible.
  • Weekly attendance bonus. Some countries offer a weekly attendance bonus for those who show up on time. This amount is typically around £75.

The Bottom Line

Amazon is an excellent place to work, not only because they recently upped their hourly wage, but they also offer a lucrative sign-on bonus for new hires. The bonuses are typically paid in installments, such as 30, 60, or 90 days after starting employment. Rehires are eligible for the sign-on bonus, but transferring employees are not.

Are seasonal workers eligible for the Amazon sign-on bonus?

Seasonal employees are eligible for the sign-on bonus. In fact, it is one of the main reasons why Amazon decided to create bonus payments. However, seasonal employees will still have to remain on the job for a specific amount of time before receiving the payments.

How long does Amazon’s sign-on bonus last?

It is best to check back with the Amazon employment website to know whether or not the bonus is still in effect.

Does Amazon pay the signing bonus upfront?

Amazon does not pay the signing bonus upfront in almost all cases. (This may be true for workers in higher-up positions, but every location is different). Payments are more likely to be received in installments after a certain number of workdays. The most common installments will occur 30 days after employment begins and again after 180 days of work.