Expert Direction on Job Changing Methodologies
by Gary Ames - Selected writings by a professional job campaign manager.
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Compensation Proposal -- Sample

 
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Base Pay  $275,000 with annual merit/salary review on anniversary or other date consistent with company practice.
Bonus     Bonus target initially equal to 50% of Base Pay. Actual payout will be proportionality higher or lower depending on the combination of achievement of personal goals and business performance against set targets.Annual target should grow proportionally to the growth of the company according to some measure and ratio to be determined.  An example might be Net Income.
Sign On Bonus        $75,000.
Company Equity

Options on 250,000 shares vesting proportionally each month over the next 24 months.
Stock grant of 50,000 shares vesting immediately.

 

Interest free loan from company to purchase an additional 250,000 shares 90 days after employment date.

Additional option/share grants based on company performance

Life Insurance          Provide $1,500,000 at no cost to me.
Vacations                  5 weeks annually.
Disability Full salary for one year, 75% salary for 12 additional months, 50% until age 65.
Medical,
Dental& Vision
Minimum 80% company paid, not HMO or Group/Network based Vision Maximum $1,000 family deductible 100% Hospitalization.
Dental is all reasonable and customary fees paid including orthodontics.  Minimum lifetime orthodontic limit $2,000/person.
Company Car $800 after tax/month allowance for car plus gas card and repairs. Car is for business and personal use.

Financial, Estate, & Tax Planning

Company of my choice not to exceed $5,500/year.
Pension Plan Company funded pension or 401k plan as well as 401k thrift plan.
Employment Agreement It should be important to both of us that we have the time to develop and accomplish the appropriate goals for the company.  I would expect a contract of 3-5 years with specific automatic renewals.

Severance for any reason other than for cause, the definition of cause to be agreed upon, would require:

•  Minimum three months notice.

• 12 months salary + bonus.

• Professional outplacement at firm of my choice.

• Continuation of insurance and benefits for
18 months.

Change of control or company relocation provision triggering severance plus acceleration of option and/or stock vesting with provision that any stock or options held by me will be treated at least as well as I.C.C. in the sale transaction.

 

 
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