What is the summary compensation table?
What is the summary compensation table?
What is a Summary Compensation Table? The Summary Compensation Table gives an annotation of the compensation that the executives of a company receive. This Table gives a disclosure and detailed information of a company’s compensation practices, it highlights both the highest and lowest paid executives.
How do you calculate executive compensation for a public company?
You can locate information about executive pay in: (1) the company’s annual proxy statement; (2) the company’s annual report on Form 10-K; and (3) registration statements filed by the company to register securities for sale to the public.
What is the CD&A?
The Compensation Discussion and Analysis (the “CD&A”) provides narrative disclosures explaining the elements of a company’s executive compensation program.
How do I find the name of an executive officer?
The SEC proposes to define “Named Executive Officers,” for whom the detailed disclosure is required, to consist of the principal executive officer, the principal financial officer and the three most highly compensated executive officers, other than the principal executive officer and the principal financial officer.
What are Section 16 officers?
Section 16 Officer means a president, vice president, secretary, treasurer or principal financial officer, comptroller or principal accounting officer, and any person routinely performing corresponding functions with respect to the Company.
Do public companies have to disclose executive compensation?
All executive compensation information can be found in public filings with the Securities and Exchange Commission (SEC). The SEC mandates all public companies to disclose how much they are paying their executives, how this amount is derived, and who is involved in determining pay.
What are the four forms of executive compensation?
According to the Center on Executive Compensation, “Executive pay arrangements typically consist of six distinct compensation components: salary, annual incentives, long-term incentives, benefits, perquisites and severance/change-in-control agreements.”1 See High-Performing Companies Pay Executives Differently.
The Summary Compensation Table provides, in a single location, a comprehensive overview of a company’s executive pay practices. It sets out the total compensation paid to the company’s chief executive officer, chief financial officer and three other most highly compensated executive officers for the past three fiscal years.
What must a company disclose about its executive compensation?
A company also must disclose the criteria used in reaching executive compensation decisions and the relationship between the company’s executive compensation practices and corporate performance. The Summary Compensation Table is the cornerstone of the SEC’s required disclosure on executive compensation.
What is in the revised compensation disclosure Handbook?
This revised handbook provides an overview of the SEC’s compensation disclosure rules, including the most significant changes and requirements through March 1, 2010 under the rules and guidance and offers practical advice to help companies understand, and comply with, the disclosure requirements.
What is item 402 of the director compensation table?
Item 402(k) — Director Compensation Table. 12.01 Consulting arrangements between the registrant and a director are disclosable as director compensation under Item 402(k)(2)(vii), even where such arrangements cover services provided by the director to the issuer other than as director (e.g., as an economist).
