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                                                                   Exhibit 10.23

YOUNG AMERICA CORPORATION
PERFORMANCE INCENTIVE PLAN


THIS PLAN IS EFFECTIVE FOR THE FISCAL YEAR JANUARY 1 THROUGH DECEMBER 31, 2000.

[ ]      ELIGIBILITY

         Exempt positions designated as Levels 30E through 43E, Levels 45T
         through 48T, and Non-Level positions of Director, Vice President and
         President/CEO are eligible.

         Incentive eligibility for all positions requires approval of the CEO.
         Eligibility will be determined on an annual basis. Only Exempt
         positions will be considered for eligibility.

         To participate in the Plan, the participant must be an active full-time
         employee and will be subject to the terms as follows:

             1.    TERMINATION OF EMPLOYMENT

                   In the event a participant is terminated for cause, no
                   incentive is due.

             2.    NEW HIRES/TRANSFERS/PROMOTIONS

                   Participants with less than 12 months of employment during
                   the plan year will generally be awarded the incentive payment
                   based upon a prorated amount, based on the number of full
                   months of employment. Those newly hired within the fourth
                   quarter of any calendar year will not be eligible for
                   participation until January 1 of the following year.

                   The same provision will apply when an employee is transferred
                   or promoted into an incentive-eligible position. For
                   promotions, demotions and transfers, the incentive
                   calculation will be based on the percentage of base salary
                   assigned to the new eligible position.

             3.    EMPLOYEES MUST BE ACTIVELY EMPLOYED BY YOUNG AMERICA
                   CORPORATION ON THE DAY OF THE INCENTIVE PLAN PAYMENT TO BE
                   ELIGIBLE TO RECEIVE PERFORMANCE INCENTIVE COMPENSATION.



[ ]      INCENTIVE PAYMENTS

         Incentive payments will be paid in the form of a check each year.
         Payments will be made as soon as is practical following final
         accounting, closing of the prior fiscal year goals and upon final Board
         approval. The percentage of base salary will be based on the
         participants actual earned and paid salary for the fiscal year, less
         any amounts for

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         bonuses, SMPTO, etc. All percentage calculations will be rounded to the
         nearest tenth of one percent.

         Performance incentive compensation will be eligible for 401(k)
         deductions and subject to applicable taxes.


[ ]      PLAN OVERVIEW

         The Performance Incentive Plan is comprised of two parts:

             1.    COMPANY FINANCIAL OBJECTIVES

                   The predetermined year-end EBITDA goal will be the key
                   performance factor, which drives the company's objectives. A
                   minimum threshold must be met before any incentive payments
                   will occur. The corporate performance minimum threshold and
                   incremental percentages are:



                   CORPORATE PERFORMANCE     INCENTIVE PERFORMANCE
                   ---------------------     ---------------------
                                          
                   80% AND BELOW             NO BONUS INCENTIVE PAYOUT
                   81% OF EBITDA             5% OF POTENTIAL BONUS PAYOUT
                   90% OF EBITDA             50% OF POTENTIAL BONUS PAYOUT
                   100% OF EBITDA            100% OF POTENTIAL BONUS PAYOUT
                   120% OF EBITDA            120% OF POTENTIAL BONUS PAYOUT


                   o   FOR EACH 1% OF CORPORATE PERFORMANCE INCREASE, FROM 80%
                       TO 100%, THE INCENTIVE POTENTIAL BONUS PAYMENT WILL
                       INCREASE BY 5%.

                   o   EXCLUDES COMMISSIONED EMPLOYEES.

                   o   PERTAINS TO EXEMPT EMPLOYEES ONLY.



[ ]      INDIVIDUAL WORK PLAN OBJECTIVES

         At the beginning of each plan year, four to six specific performance
         objectives must be established for each Performance Incentive Plan
         participant. Each individual objective must support the achievement of
         a specific Tactic within the Strategic Plan and are subject to final
         approval by each area Manager and/or Vice President. Attainment of
         these objectives will be evaluated at the end of each plan year; and, a
         composite rating will be assigned to the achievement of these goals.
         This will then transfer into an incentive payment for the based on
         individual performance.



                                CORPORATE PERFORMANCE     INDIVIDUAL PERFORMANCE
                                ---------------------     ----------------------
                                                            

         President                       100%                       0%
         Vice President                   75%                      25%
         Director                         67%                      33%
         Levels 38E - 43E                 50%                      50%
         Level 57T                        50%                      50%
         Levels 30E - 37E                  0%                     100%
         Levels 45T - 55T                  0%                     100%


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[ ]      All incentive compensation payments will be reviewed and approved by
         the CEO, CFO and the Compensation Committee of the Board of Directors.

[ ]      Communication of eligibility for the Performance Incentive Plan will be
         made during the offer process for new hires; and, during the month of
         February for all other eligible employees. Each participant will
         receive a written copy of his/her objectives, company goals and
         incentive plan rules at that time.

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