Searching Pondering Equity-Based Long-Term Incentive Plans on page 23

Create Better Alignment The behavioral preference of retirees to view their assets in terms of periodic income flows rather than aggregate sums supports the importance of primarily communicating and educating DC plan participants about retirement income projections.

Also, according to Myers, investors largely prefer performance-based incentives vs. time-based awards and will look with a skeptical eye at situations that appear to be “shifting the goalposts” in the middle of the game.

Broadly, the overarching rule states companies must: ;Recover affected incentive compensation paid during the three fiscal years preceding the restatement — the “lookback period” (only for fiscal years after the rule came into effect).; ;Claw back performance-based compensation tied to the relevant metrics (bonuses, performance stock units, etc.) — other forms of compensation, such as base salary or time-based equity, are not subject to the SEC’s rule.; ;Pursue recoupment in a “reasonably” prompt manner.; This mandatory clawback can be triggered when a company files either a “Big R” (formal amended SEC filing) or “little r” (out-of-period adjustment) restatement, so long as the restatement affects the financial metrics underlying incentive awards.

For WorldatWork Members 3 Sales Compensation Challenges that AI Can Help Tackle , Workspan Magazine article;Sales Compensation Plan: Organizational Inventory , tool;Sales Performance Management Technology Selection Guide , tool;Sales Performance Management , research;Return on Sales Expense , research; For Everyone The Power of Pay-for-Performance Sales Compensation Plans , Workspan Daily article;The Role of Profitability Metrics in Sales Compensation Plans , Workspan Daily article;5 Keys: Using Incentive Comp to Lift Performance, Profits, Innovation , Workspan Daily article;Sales Comp ’25 , conference; Most organizations see the benefit of driving a global sales compensation framework across local countries.

“There was a time when organizations thought of financial well-being as all about long-term security and retirement plans, but now employees are really looking for short-term financial stability,” he said.

According to Voya retirement plan participant data, employees without adequate emergency savings are: 30% more likely to decrease their 401(k) contribution rates;13 times more likely to take a hardship withdrawal;Three times more likely to take a loan from their retirement plans.; “This is where an emergency savings fund can support the short-term needs workers face today, which then can help them meet their long-term goals and provide a greater feeling of financial security,” Vaillancourt said.

Like sales compensation designers at other companies, you have updated your incentive plan for this fiscal year.

Key Takeaways 7 Senators Pen Letter Decrying Alternative Assets in 401(k) Plans;Ninth Circuit Rejects Constitutionality Claims Against NLRB; 7 Senators Pen Letter Decrying Alternative Assets in 401(k) Plans Seven U.S. senators on Wednesday, Oct. 29, sent a public letter to Secretary of Labor Lori Chavez-DeRemer and Securities and Exchange Commission (SEC) Chairman Paul Atkins that expressed concerns about President Donald Trump’s Aug. 7 executive order that aims to enable greater access to alternative assets (i.e., private equity, cryptocurrencies and real estate) within Americans’ retirements plans.

When compensation administrators collaborate with data teams, the results are more likely to be system outputs that are trustworthy.; When creating new incentive plans or changing existing ones, compensation and total rewards professionals can draw from a wealth of data and analytical tools .

For WorldatWork Members The Outperformance Stock Unit: Meaningful Long-Term Incentives at Minimal Initial Expense , Workspan Magazine article;Exploring Executive Compensation Decision Making , Journal of Total Rewards article;Incentive Goal Setting is Becoming More Flexible , Journal of Total Rewards article;Executive Compensation Update: Key Developments and Future Insights , on-demand webinar; For Everyone The CEO Left.