Exhibit 10.2
| | 2015 Incentive Compensation Plan Effective January 1, 2015 Personal and Confidential |
Employee | Frederick H. Weismann | 2015 Base Salary | $ | 175,000 | | | |
Title | EVP/COO | 2015 Bonus Target | 14 | % | $ | 24,500 | |
| | | | | | |
Thresholds | Maintain CAMELS rating at one of the two highest ratings |
| Maintain an Asset Quality rating of “Satisfactory” or better |
| Maintain Loan Quality Control rating at “Satisfactory” or better |
| |
Goal #1: | Bank Profitability: Achieve Return on Assets |
| | | | | | | | |
| | | | | | |
Annual Payout Target | 50% | = | $ | 12,250 | |
| | Payout | |
Goals | | | |
95% of Budget = | | $ | 4,083 | |
At Budget = | | $ | 8,167 | |
106% of Budget = | | $ | 12,250 | |
Stretch Goal | | | |
Every .03% over 106% of Budget | | $ | 4,083 | |
Goal #2: | Increase Commercial and Retail Checking Deposit Balances |
Annual Payout Target | 20% | = | $ | 4,900 | |
| | Payout | |
Goals | | | |
95% of Budget = | | $ | 1,633 | |
At Budget = | | $ | 3,267 | |
110% of Budget = | | $ | 4,900 | |
Stretch Goal | | | |
Every $1.3 M over 110% of Budget | | $ | 1,633 | |
Goal #3: | Increase Commercial Loan Balances |
Annual Payout Target | 20% | = | $ | 4,900 | |
| | Payout | |
Goals | | | |
95% of Budget = | | $ | 1,633 | |
At Budget = | | $ | 3,267 | |
110% of Budget = | | $ | 4,900 | |
Stretch Goal | | | |
Every $2.1M over 110% of Budget | | $ | 1,633 | |
Goal #4: | Achieve SBA Fee Income Target |
Annual Payout Target | 10% | = | $ | 2,450 | |
| | Payout | |
Goals | | | |
95% of Budget = | | $ | 817 | |
At Budget = | | $ | 1,633 | |
105% of Budget = | | $ | 2,450 | |
Stretch Goal | | | |
Every $100,000 over 105% of Budget | | $ | 817 | |
NOTES:
Bonus targets are based on Georgetown Bancorp Inc. 2015 budget.
All dollar figures are based on estimates of annualized salary. Incentive payments are based on the employee’s actual base compensation for the fiscal year, which includes straight time pay, vacation, holiday, personal, sick and jury duty pay. Overtime and other payments including previous year’s bonus payout will be excluded from the calculation.
To be eligible for the Incentive Compensation, the employee must be actively employed, performing at a level of “satisfactory” or above, and not be on a written warning at the time of the incentive payment.
The Bank shall have the right to rescind and recoup or “clawback” incentive payments paid under this plan if the Compensation Committee concludes that such awards were paid out based on information that is later found to be materially incorrect, including payments that were determined, in whole or in part, on financial statement information that is subsequently restated.
By signing below I confirm receipt of my Incentive Compensation Plan and my understanding of the provisions stated above.
/s/ Frederick H. Weismann | | January 26, 2015 |
Frederick H. Weismann | | Date |
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/s/ Robert E. Balletto | | January 26, 2015 |
Robert E. Balletto, CEO/President | | Date |
