Common use of Incentive Compensation Calculation Clause in Contracts

Incentive Compensation Calculation. The formula for determining incentive compensation is as follows: Incentive Compensation equals the product of Thomxx Xxxup revenues for the applicable fiscal year multiplied by the income growth sharing ratio expressed as a percentage ("IGSR") for the fiscal year, the result multiplied by the Entitled Percent. The ISGR is determined with reference to the following table: INCOME GROWTH SHARING RATIO Income Before Tax and Incentive Compensation Less as a % of Revenues than 5%* 5%-9.99%* 10%-14.99%* 15%-24.99%* Over 25%* ------------------ -------- --------- ----------- ----------- --------- 0 - 8.99% 0 0 0 .2% .3% 9.00% - 14.99% .3% .4% .5% .6% .7% 15.00% - 19.25% .5% .6% .8% 1.0% 1.2% Over 19.25% .8% 1.0% 1.3% 1.6% 1.8% *IBTIC Growth Rate ISGR is determined by first determining the IBTIC as a percent of revenue for the current fiscal year and then entering the table along that line until the appropriate IBTIC Growth Rate is reached; the ISGR is shown at that intersection in the table. For purposes of this table, IBTIC Growth Rate for each applicable fiscal year is derived from the following formula: IBTIC[Current Fiscal Year] minus 1 x 100 -------------------------- IBTIC[Prior Fiscal Year] In the event that either the IBTIC Growth Rate or the IBTIC, as computed above, is zero or negative for a particular fiscal year, it shall be treated as zero for purposes of the foregoing computation for such year.

Appears in 1 contract

Samples: Employment Agreement (Thomas Group Inc)

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Incentive Compensation Calculation. The formula for determining incentive compensation is as follows: Incentive Compensation equals the product of Thomxx Xxxup revenues for the applicable fiscal year multiplied by the income growth sharing ratio expressed as a percentage ("IGSR") for the fiscal year, the result multiplied by the Entitled Percent. The ISGR is determined with reference to the following table: INCOME GROWTH SHARING RATIO Income Before Tax and Incentive Compensation Less as a % of Revenues than 5%* 5%-9.99%* 10%-14.99%* 15%-24.99%* Over 25%* ------------------ ----------------------- -------- --------- ----------- ----------- --------- 0 - 8.99% 0 0 0 .2% .3% 9.00% - 14.99% .3% .4% .5% .6% .7% 15.00% - 19.25% .5% .6% .8% 1.0% 1.2% Over 19.25% .8% 1.0% 1.3% 1.6% 1.8% *IBTIC Growth Rate ISGR is determined by first determining the IBTIC as a percent of revenue for the current fiscal year and then entering the table along that line until the appropriate IBTIC Growth Rate is reached; the ISGR is shown at that intersection in the table. For purposes of this table, IBTIC Growth Rate for each applicable fiscal year is derived from the following formula: IBTIC[Current IBTIC [Current Fiscal Year] --------------------------- minus 1 x 100 -------------------------- IBTIC[Prior IBTIC [Prior Fiscal Year] In the event that either the IBTIC Growth Rate or the IBTIC, as computed above, is zero or negative for a particular fiscal year, it shall be treated as zero for purposes of the foregoing computation for such year.

Appears in 1 contract

Samples: Employment Agreement (Thomas Group Inc)

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Incentive Compensation Calculation. The formula for determining incentive compensation is as follows: Incentive Compensation equals the product of Thomxx Xxxup TGI revenues for the applicable fiscal year multiplied by the income growth sharing ratio expressed as a percentage ("IGSR") for the fiscal year, the result multiplied by the Entitled Percent. The ISGR is determined with reference to the following table: INCOME GROWTH SHARING RATIO Income Before Tax and Incentive Compensation Less as a % of Revenues than 5%* 5%-9.99%* 10%-14.99%* 15%-24.99%* Over 25%* ------------------ -------- --------- ----------- ----------- --------- 0 - 8.99% 0 0 0 .2% .3% 9.00% - 14.99% .3% .4% .5% .6% .7% 15.00% - 19.25% .5% .6% .8% 1.0% 1.2% Over 19.25% .8% 1.0% 1.3% 1.6% 1.8% *IBTIC Growth Rate ISGR is determined by first determining the IBTIC as a percent of revenue for the current fiscal year and then entering the table along that line until the appropriate IBTIC Growth Rate is reached; the ISGR is shown at that intersection in the table. For purposes of this table, IBTIC Growth Rate for each applicable fiscal year is derived from the following formula: IBTIC[Current IBTIC [Current Fiscal Year] --------------------------- minus 1 x 100 -------------------------- IBTIC[Prior IBTIC [Prior Fiscal Year] In the event that either the IBTIC Growth Rate or the IBTIC, as computed above, is zero or negative for a particular fiscal year, it shall be treated as zero for purposes of the foregoing computation for such year.

Appears in 1 contract

Samples: Employment Agreement (Thomas Group Inc)

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