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Examples of Payout Calculations
Objective #1: Based on the 1999-00 statewide assessment the district will increase the percent of 10th grade students meeting or exceeding mathematics standards from 32.2% in 1998-99 to 42.2%.
Objective #2: The percent of students participating in activities (e.g. organized sports; clubs such as drama, debate, chorale, etc.; extra-curricular academic programs) will be increased by 10% in 1999-00 over the percent of students participating in 1998-99 (40%).
Objective #3: Based on the 1999-00 statewide assessment the district will increase the percent of 10th grade students meeting or exceeding reading standards from 38.3% in 1998-99 to 45%.

Base Salary: $70,000
Payout per objective: $1,000
Range of goal payout: $750 to $1,200 per goal
Minimum achievement level... 75% of goal:

Goal #1:

A 75% increase is the minimum needed to receive any payout, i.e. an increase from 32.2% to 39.7% (distance to goal = 10%; calculation is: .75 x 10% plus 32.2%).

Goal #2:

A 75% increase is the minimum needed to receive any payout, i.e. an increase from 40% to 47.5% (distance to goal = 10%; calculation is: 10% x .75 plus 40%).

Goal #3:

A 75% increase is the minimum needed to receive any payout, i.e. an increase from 38.3% to 43.3% (distance to goal = 6.7%; calculation is: 6.7% x .75 plus 38.3%).
Maximum achievement level... 120% of goal:

Goal #1:

The maximum payout will be 120% of the goal or an increase from 32.2% to 44.2% (distance to goal = 10%; calculation is 10% x 1.2 plus 32.3%).

Goal #2:

The maximum payout will be 120% of the goal or an increase from 40% to 52% (distance to goal = 10%; calculation is 10% x 1.2 plus 40%).

Goal #3:

The maximum payout will be 120% of the goal or an increase from 38.3% to 46.3% (distance to goal = 6.7%; calculation is 6.7% x 1.2 plus 38.3%).

Sample Performance:

Goal #1:

40% of 10th grade students met or exceeded mathematics standards

Goal #2:

53% of students participating in activities (e.g. organized sports; clubs such as drama, debate, chorale, etc.; extra-curricular academic programs).

Goal #3:

41% of 10th grade students met or exceeded reading standards.
Goal payout based on sample performance above:

Goal #1:

$780 (calculation: 40%-32.2% = 7.8%; 7.8/10 = 78%; .78 x $1000 = $780)

Goal #2:

$1,200 (calculation: 53% > maximum payout of 52%; 1.2 x $1,000 = $1,200)

Goal #3:

        $0 (calculation: 41% < minimum payout of 43.3%; no payout)
$1,980 Performance Incentive Program total payout
$70,000 Superintendent base salary
$71,980 Total annual salary
 

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PIP Home
Performance Pay vs. Incentive Pay
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Setting Goals and Objectives
Example Goals and Objectives
Payout Determinations
Cost of Living Adjustments
Examples of Payout Calculations

Performance Pay Resources

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