150% Target Bonus Clause Samples
The "150% Target Bonus" clause establishes that an employee is eligible to receive a bonus amounting to 150% of a predetermined target bonus, typically based on performance metrics or company results. In practice, this means if the standard target bonus is $10,000, the employee could earn up to $15,000 if certain criteria are met, such as exceeding performance goals or company profitability thresholds. This clause incentivizes high performance by offering a substantial financial reward, aligning employee motivation with organizational objectives and providing clarity on potential compensation.
150% Target Bonus. In addition to the pro-rated bonus described in Section 4(b) above, the Company will pay, as severance, an amount equal to 150% of the Executive’s then-current target annual cash bonus (ignoring the effect of any reduction in base salary that forms the basis for Good Reason in determining the target bonus amount), payable in equal installments over the first 18 months following the Separation from Service, on the Company’s normal payroll schedule; provided, however, that no payments will be made until the later of (i) the Initial Payment Date and (ii) the Determination Date, and on such later date, the Company will make a lump sum payment of these target bonus amounts that would have been paid through such date had payments commenced immediately following the Separation from Service, with the balance paid thereafter on the original schedule.