Define: Performance-Based Compensation
What does "Performance-Based Compensation" mean? The meaning differs based on the contract. We found 3 definitions across 3 companies in SEC filings.
Definition 1 (EQUIFAX INC, seen in 1 filing)
Performance-Based Compensation means Compensation where the amount of, or entitlement to, the Compensation is contingent on the satisfaction of pre-established organizational or individual performance criteria relating to a performance period of at least 12 consecutive months. Organizational or individual performance criteria are considered pre-established if established in writing by not later than 90 days after the commencement of the period of service to which the criteria relate, provided that the outcome is substantially uncertain at the time the criteria are established. Performance-Based Compensation shall not include any Compensation payable upon the Participant’s death or disability (as defined in Treas. Section 1.409A-1(e)) without regard to the satisfaction of the performance criteria.
Source: EQUIFAX INC 10-K
Definition 2 (Chubb Ltd, seen in 1 filing)
Performance-Based Compensation means Units payable to an Eligible Employee where the amount of, or entitlement to, the Units is contingent on the satisfaction of pre-established organizational or individual performance criteria relating to a performance period of at least twelve consecutive months.
Source: Chubb Ltd 10-K
Definition 3 (MICROSOFT CORP, seen in 1 filing)
Performance-Based Compensation means performance-based compensation as defined under Code section 409A.
Source: MICROSOFT CORP 10-K
Data extracted from 5 SEC EDGAR filings across 3 companies. Source: Material contracts (Exhibit 10) filed under Regulation S-K.
This page presents definitions found in actual SEC filings for informational purposes. The specific definition appropriate for your contract may vary based on jurisdiction, industry, and specific circumstances. Consult with a qualified attorney for legal advice.