This depends on the comp structure. What you described is true for the old-school 15% performance bonus. This is usually a performance tool and allows finer pun

This depends on the comp structure. What you described is true for the old-school 15% performance bonus. This is usually a performance tool and allows finer punishment/encouragement than "fired on the first mistake"/"promoted on the first success". However, there are firms that do profit-sharing and it is not 15% of your base but multiplies of the base. Many people find it hard to ignore.