Incentive Compensation

There is increasing focus on cash compensation in light of recent concerns regarding perceived abuses of equity compensation.  Unlike other forms of compensation, there are relatively few legal restrictions that restrict the design of incentive compensation.  Appropriate compensation incentives properly linked to measurable financial indicators represents an important element of an executive's compensation package.

We work closely with clients to design innovative incentive compensation programs that meet their needs.  We help clarify the goals for the program, define performance objectives, comply with requirements under Section 162(m) for deduction of compensation in excess of $1 million, place appropriate limits on the benefits payable under the program.  Plan designs may include opportunities to defer earned amounts and to receive matching equity compensation grants.

Contacts

Executive Compensation Client Services

McDermott Will & Emery

McDermott Will and Emery