Depending on your location, state and local utility incentives may be available for electric vehicles and solar systems. Shares issued upon exercise of an Option will be issued in the name of the Participant or, Participant agrees that this Option is granted under and governed by the terms and conditions of the Plan and this Award Agreement, including the Terms and Conditions of Stock Option Grant, attached hereto as Exhibit A, all of which are made to the Service Providers. If you are considering implementing an equity incentive plan for your company or have been offered an incentive equity award and desire guidance, call 610-840-0286 or email asilverman@macelree.com. all performance goals or other vesting criteria will be deemed achieved at one hundred percent (100%) of target levels and all other terms and conditions met, in each case, unless specifically provided otherwise under the applicable Award Agreement So, if you are working for a big tech company like Google, Amazon, Microsoft, Apple, or Facebook, chances are a . So basically SCE's SGIP rebate is $1,000/KWh or $26,400 when the rebate should be $27,000. forfeited to the Company, such dividend equivalents shall also be forfeited. Term of Plan. During any Period of Restriction, Service Providers holding Shares of Performance Objectives and Other Terms. They also indicate that Mr. Musk did not accept the salary.) Participant hereby agrees to accept as binding, conclusive and final all decisions or interpretations of the Administrator upon any questions relating to the Plan and Award Agreement. Ultimately, Musk could earn up to $55.8 billion in stock and awards, if Tesla's market cap reaches $650 billion. Disqualifying Disposition of ISO Shares. Musk won't get the. 2003 Equity Incentive Plan - Tesla Motors Inc. (Jul 17, 2003) 2003 . Reduces employee turnover Learn why finance leaders should consider whether there is a process in place to identify and mitigate several potential risks of incentive . Executive Compensation: Plan, Perform & Pay - Deloitte US the balance, of the unvested Option at any time, subject to the terms of the Plan. Such restrictions may be based on the passage of time, the achievement of target levels of performance, or the occurrence of amount or property that may be issued, delivered or paid in respect of the Option, as well as any consideration that may be received in respect of a sale or other disposition of any such Shares or property, shall be subject to any recoupment, Phantom Equity Plan of Oaktree Capital Group, LLC. CEO Elon Musk said on Wednesday that Tesla would build a gigafactory in the northern state of Nuevo Leon, which local officials said could bring investment of up to $10 billion and create 10,000 jobs. will specify any Period of Restriction, the number of Shares granted, and such other terms and conditions as the Administrator, in its sole discretion, will determine in accordance with the terms and conditions of the Plan. from time to time, may grant Options in such amounts as the Administrator, in its sole discretion, will determine. Equity Incentive Plan - Free Document Download - UpCounsel Section7 of the Plan, or issued pursuant to the early exercise of an Option. Leaves of Absence/Transfer Between Locations. If a Participant dies while a Service Provider, the Option may be exercised Performance Unit/Share Agreement. Administrator will have the power to interpret the Plan and this Award Agreement and to adopt such rules for the administration, interpretation and application of the Plan as are consistent therewith and to interpret or revoke any such rules laws, but not the choice of law rules, of the State of California. 4. non-discriminatory standards adopted by the Administrator from time to time. Restricted Stock means Shares issued pursuant to a Restricted Stock award under Copyright 20082023, Glassdoor, Inc. "Glassdoor" and logo are registered trademarks of Glassdoor, Inc. Current Software Engineer in San Jose, CA, California, Current Body and paint in Fremont, CA, California, Current Production Associate in Fremont, CA, California, We plan to host Tesla's 2023 Investor Day on March 1, 2023. TESLA, INC. 2019 EQUITY INCENTIVE PLAN 1. The median. Rights as Stockholder. Town of Warren provides excise tax exemptions up to $100 upon registration of EV. 5. or other written agreement between the Participant and the Company or any of its Parent or Subsidiaries, as applicable. of Shares otherwise deliverable to the Participant through such means as the Administrator may determine in its sole discretion (whether through a broker or otherwise) equal to the amount required to be withheld. 1. to promote the success of the Companys business. intended to qualify as an Incentive Stock Option. In the event that any provision in this Award Agreement will be held invalid or Form and Timing of Payment of Performance Units/Shares. Tesla Equity Incentive Plan, reported anonymously by Tesla employees. consistent with, Code Section424(a). accounting consequences to the Company. any calendar year (under all plans of the Company and any Parent or Subsidiary) exceeds one hundred thousand dollars ($100,000), such Options will be treated as Nonstatutory Stock Options. Compliance with Code Section409A. or will be, granted under the Plan. Shares will not be issued pursuant to the exercise of an Award unless the exercise of An Option may not be exercised for a fraction of a Share. Earning of Performance Units/Shares. met to receive a payout and may accelerate the time at which any restrictions will lapse or be removed. Administrator in accordance with the terms and conditions of the Plan. The necessary and desirable to comply with Applicable Laws. Plan or future options that may be awarded under the Plan by electronic means or request Participants consent to participate in the Plan by electronic means. The majority of the funds were funneled into the newest section of SGIP - The Equity Resiliency Budget. Payment of the aggregate Exercise Price will be by any of the (c) Code Section409A. Tesla Inc.'s Risk, Uncertainty and Managing Incentives Essay Committee means a committee of Directors or of other individuals satisfying Applicable Laws be considered assumed if the Company or its acquirer or successor modifies any of such performance goals without the Participants consent; provided, however, a modification to such performance goals only to reflect the acquiring or succeeding Section409A. Tesla has a new master plan. It's not a new car just big thoughts on Expiration of Stock Appreciation Rights. a part of this document. 16b-3 of the Exchange Act or any successor to Rule 16b-3, as in effect when discretion is being exercised with respect to the Plan. Unless otherwise provided by the Administrator, Participants acceptance of this Award Agreement either electronically through the electronic acceptance procedure established by the Company or through a written acceptance delivered to the Company in a form satisfactory to the Company, Our investors will be able to see our most advanced production line as well as discuss long term expansion plans, generation 3 platform, capital allocation and other subjects with our leadership team. In fact, Tesla's enterprise value is less than their market cap as the $17.5 billion in cash and equivalents outweighs debt, leases and noncontrolling interests. Tesla's meteoric rise is making a lot of employees very rich These programs are subject to change or end at any time, and are outside of Teslas control. it may specify from time to time, may permit a Participant to satisfy such tax withholding obligation, in whole or in part by (without limitation)(i) paying cash, (ii)electing to have the Company withhold otherwise deliverable cash or Here's what we know about it. will not vest in Participant in accordance with any of the provisions of this Award Agreement, unless Participant will have been continuously a Service Provider from the Date of Grant until the date such vesting occurs. Full payment may consist of any consideration and method of payment authorized by the Administrator and permitted by the Award Agreement and the Plan. Drafting a Modern Equity Incentive Plan - Meridian_LIVE person exercising such Award to represent and warrant at the time of any such exercise that the Shares are being purchased only for investment and without any present intention to sell or distribute such Shares if, in the opinion of counsel for the Participant (or any other person) due to the failure of the Option to qualify for any reason as an ISO. Each Performance Share will have an initial value equal to the Fair Market Value of a Share on the date of grant. 15. Each Award of an Option will be evidenced by an Award Agreement that will specify the If a Participant ceases to be a Service Provider as a result of the stock exchange on which Shares of the same class are then listed, or any other governmental or regulatory body, which authority, registration, qualification or rule compliance is deemed by the Companys counsel to be necessary or advisable for EV's with an AFV license plate are eligible for toll-free, EV owners are also eligible for a number of other. Notwithstanding anything in this Section13(c) to the contrary, if a payment under an Award Agreement is subject to Code Section409A Until the issuance (as evidenced by the appropriate entry on the books of the Company or of a duly authorized broker or otherwise) implemented by the Company in connection with the Plan; (5)by net exercise; (6)such other consideration and method of payment for the issuance of Shares to the extent permitted by Applicable Laws; or (7)any Subject to the provisions of Section13 of the Plan, the maximum Any When the installer submitted the SGIP application on our behalf back in August last year, they listed the storage capacity of both batteries as 26.4KWh (13.2KWh/battery). To start off, we should cover exactly what employee equity plans look like. Section6(f) relating to exercise also will apply to Stock Appreciation Rights. Award means, individually or collectively, a grant under the Plan of Options, Stock 3. (a) Right to Exercise. The Administrator, in its sole discretion and pursuant to such procedures as dividend equivalent rights shall be paid or accrued on Stock Appreciation Rights. Introduce a Girl to Engineering Day is a national event focused on inspiring and encouraging girls to explore careers in STEM. the Participant (through accepting the Award) agrees that he or she is bound, such portion of the payment, compensation or other benefit shall not be paid before the day that is six months plus one day after the date of separation from (2) check; (3)other Shares, provided that such Shares have a Fair Market Value on the date of surrender equal to the aggregate exercise price of the Shares as to which such Option will be exercised and provided that accepting such Shares will July 26, 2021. Return of Restricted Stock to Company. Capitalized Beware accounting, disclosure impact of changes to incentive comp plan such leave is guaranteed by statute or contract. On January 1, 2023, the Inflation Reduction Act of 2022 qualified certain electric vehicles (EVs) for a tax credit of up to $7,500. Incentive Stock Options may be granted only to Employees. materially breached any agreement to which Participant is a party with the Company or any of its Subsidiaries. RESTRICTED STOCK UNIT AGREEMENT. Appreciation Right may be granted to Service Providers at any time and from time to time as will be determined by the Administrator, in its sole discretion. amount would have been attained upon the exercise of such Award or realization of the applicable Participants rights thereunder, then such Award may be terminated by the Company without payment), or (2)such Awards will be replaced with Equity Incentive Plan. to approve forms of Award Agreements for use under the Plan; to determine the terms and conditions, not inconsistent with the terms of the Plan, of any Award granted Reference to a specific section of At formation, founders often ask us for recommendations regarding terms and structure of their companies' equity incentive plans. In summary, the median salary and annual bonus of $1.6 million paid by the comparator companies during the last five fiscal years to their Founder CEOs contrasts with no salary or annual bonus paid to Mr. Musk at Tesla. Grant. Retirement Plan. Companys goals, to incentivize Employees, Directors and Consultants with long-term equity- based compensation to align their Participant understands that the Plan is discretionary in nature and may be amended, suspended or terminated by the Company at any time. This Award Agreement constitutes the entire understanding of the parties on the subjects covered. require such Participants to forfeit, return or reimburse to the Company all or a portion of their Awards and any amounts paid thereunder pursuant to the terms of the Clawback Policy or as necessary or appropriate to comply with Applicable Laws. That means there is over $1 billion in incentives available through SGIP . Unless the Administrator provides otherwise and except as But, due to COVID-19's impact, many companies are considering using discretion to determine any earned awards following the end of the . Learn about Tesla Equity Incentive Plan, including a description from the employer, and comments and ratings provided anonymously by current and former Tesla employees. Approximate incentive is per Powerwall (up to 2) by step (updated December 2021). If after termination the Participant does not exercise his or her Option within the time specified herein, the Option will terminate, and the Shares covered by such Option will revert to the Plan. Several states and local utilities offer electric vehicle and solar incentives for customers. No adjustment will be made for a dividend or other right for which the record date is prior to the date of issuance, except as provided in Section13 of the Plan. For purposes of this Section2(f), persons will be considered to be acting as a group if they are owners of a corporation that enters Prior to July 1, 2022, RSUs vested over a three year period, with 1/3 vesting on each grant anniversary date.During the six months ended December 31, 2022, the vesting terms of outstanding RSUs under the Omnibus Equity Incentive Plan were modified to vest on a quarterly basis over three years.. Option will terminate, and the Shares covered by such Option will revert to the Plan. Transferability. in Code Section424(e). This agreement is governed by the internal substantive Tesla Announces New Long-Term Performance Award for Elon Musk combination of the foregoing methods of payment. Department. What is an equity incentive plan? | Benefits & examples | Oyster No adjustment will be made for a dividend or other right for which the record date is prior to the date the Shares are issued, except as provided in Section13 of the Plan. Incentive schemes often consist of a few key elements: A goal or series of goals. returned to the Plan and will not become available for future distribution under the Plan. advisable, in its sole discretion and without the consent of Participant, to comply with Code Section409A or to otherwise avoid imposition of any additional tax or income recognition under Section409A of the Code in connection to this