An incentive is something that is given in order to motivate someone to do something. A financial incentive example is a paycheck- you are motivated to come to work so that you can get paid. Non-financial incentives are much more broad. At work, it could be something fun like free lunches or a prize for a competition for who can make the most sales. Incentives can also be intangible, such as wanting to do something in order to make someone happy or proud.