Administration November 9, 2003

CFO Bonuses: Bigger is "Better"

September 23, 2002 (PLANSPONSOR.com) - A new study finds that bigger firms are handing out larger bonuses to chief financial officers (CFO).
Reported by

An analysis by The Todd Organization,   ( www.toddorg.com ) a executive benefits consulting firm, finds that CFOs at public companies with annual revenues of more than $250 million received cash bonuses of $194,923 in 2001, roughly 64% of base pay.

That compared with the median bonus that was 36% of cash payment or $100,308.

Todd researchers collated the information from 2001 fiscal year proxy statements for all US headquartered public companies over $250 million in revenue.

According to the Todd data, CFO’s at companies:

  • with under $1 billion in revenue had a $130,601 average bonus or 53% of base pay
  • with $1 billion to $5 billion in revenue had a $240,590 average bonus or 72% of base pay
  • with $5 billion and higher in revenue had a $428, 276 average bonus or 102% of base pay

The study included 2,047 companies.

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