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In this video tutorial, Erin from Time Saving Templates addresses a common question regarding the variable compensation bonus template. She highlights that the template can be found under human resources spreadsheets and demonstrates how to use it. Users should fill in the green cells, which are mandatory, while the white cells provide optional information. The gray cells are designed to calculate automatically. Erin also explains how to manage the process if the file is sent to different managers for input before consolidating their responses, ensuring that the bonus payout calculations are accurate for each manager's submissions.