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USA Compensation Agreement

This document is up to date! It was last reviewed by a lawyer in July 2025.

USA Compensation Agreement

A compensation agreement is used to supplement an already existing employment agreement between an employer and employee. The compensation agreement is used to describe a revised employee payment scheme and when it will be in effect; the remainder of the employment terms are unaffected.

Simply answer the questions below to personalize your Compensation Agreement

Compensation Agreement template free sample

Sample Compensation Agreement

USA Compensation Agreement

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Governing Jurisdiction:

This document will be governed by the laws of which nation?

Select a State:

Select a Province or Territory:

Select a State / Territory:

Select a Country:

Select a Region:

Select a State or Union Territory:

Select a State or District:

Select a State:

Select a Region:

Select a Province:

Select a Province or Region:

Select a State or Region:

Select a Division:

Employer Information:

Name

Address

City:

Please select a Nation:

Select a province or territory:

Select a state:

Select a State / Territory:

Select a Country:

Select a Region:

Select a State or Union Territory:

Select a State or District:

Select a State:

Select a Region:

Select a Province:

Select a Province or Region:

Select a State or Region:

Select a Division:

Zip Code:

The employer is:

Employee Information:

Name

Address

City:

Please select a Nation:

Select a province or territory:

Select a state:

Select a State / Territory:

Select a Country:

Select a Region:

Select a State or Union Territory:

Select a State or District:

Select a State:

Select a Region:

Select a Province:

Select a Province or Region:

Select a State or Region:

Select a Division:

Zip Code:

The employee is:

Employment Agreement Information:

Date that employment agreement was signed (e.g. January 1, 2025):

Will a copy of the employment agreement be attached to this document?

Yes

Prior Compensation Agreement Information:

Is this agreement replacing an existing compensation agreement?

Yes

Date that prior compensation agreement was signed (e.g. June 3, 2025):

Will a copy of the prior agreement be attached to this document?

Yes

Payment Details:

How will the Employee be paid?

Hourly Rate (e.g. 10.00 dollars):

Yearly Salary (e.g. 52,000.00 dollars):

Commission Formula:

(e.g. The Employee will receive thirty (30) percent of his sales.)

Describe the compensation method:

Payment Frequency:

How often will the Employee be paid?

Other Compensation Details:

Will the Employee's overtime compensation change?

Yes

Describe the Employee's overtime compensation:

Will the Employee be receiving bonuses?

Yes

How many bonuses do you wish to describe?

Describe the first bonus:

Describe the second bonus:

Describe the third bonus:

Describe the fourth bonus:

Describe the fifth bonus:

Will the Employee's vacation time be changing?

Yes

Describe the new vacation time:

Other Optional Provisions:

Do you wish for the Employee to be able to assign this agreement to another person?

Yes

By selecting 'yes', the Employee can transfer its rights in this agreement to another person.

Do you wish for this agreement to be severable?

Yes

By selecting 'yes', you are saying that if one part of this agreement is invalid for some reason, you want the rest of the agreement to be enforced.

Do you wish to state that time is of the essence?

Yes

Do you wish to state that the headings in the agreement do not affect its meaning?

Yes

Do you wish to state that this agreement represents all the terms of the Employee's compensation?

Yes

By selecting 'yes', you are saying that all changes to the compensation are written in the agreement, and anything not written in the agreement will not be honoured.

Additional Clauses:

Are there any additional clauses you wish to add?

Yes

(eg: I wish for the Employee to... This Agreement will...)

How many additional clauses do you wish to add?

First extra clause:

Second extra clause:

Third extra clause:

Fourth extra clause:

Fifth extra clause:

Date and Duration of Agreement:

Date of Signing:

Day (e.g. 4)

Month (e.g. January):

Year (e.g. 2025):

Duration of Agreement:

Date agreement takes effect (e.g. January 15, 2025):

Date agreement ends (e.g. January 15, 2023):

Free USA Compensation Agreement Templates

The sample documents below are provided for informational purposes only.

They are NOT up to date;
They have NOT been reviewed by a Lawyer;
They may NOT be legally valid or enforceable.

We strongly recommend obtaining an attorney reviewed Compensation Agreement directly from us.

Below are some random samples we have created with Documatica. Please note that these documents reflect a certain set of answers, and it is very likely that the document you require is different. Do not rely on the templates below - create your own customized Compensation Agreement with our webpage.

Compensation Agreement (USA) Sample 27Mvl21.pdf

For maximum legal protection, obtain a lawyer reviewed Compensation Agreement directly from us.

USA Compensation Agreement