Employment

Compensation Plan Agreement

Employee compensation contract detailing salary, bonus structures, commission terms, equity participation, and benefits package for comprehensive employment compensation arrangement and expectations.

Key Clauses

1

Base Compensation

Defines salary amount, pay frequency, and any guaranteed minimum compensation.

2

Bonus Structure

Details performance bonus criteria, calculation methods, and payment timing.

3

Commission Terms

Specifies commission rates, qualifying sales, and payment schedules.

4

Equity Compensation

Covers stock options, RSUs, vesting schedules, and exercise terms.

5

Benefits Package

Lists health insurance, retirement plans, PTO, and other employment benefits.

Use This Template

When You Need This

  • Documenting a complex compensation package for a senior hire
  • Formalizing commission and bonus structures for sales teams
  • Offering equity compensation to key employees or executives
  • Updating employee compensation terms during annual reviews