Does executive compensation as disclosed in the annual report include bonuses?

3 answers

Anonymous users2024-02-07

Not included. Ministry of Finance, 1997.

Accounting Standards for Business Enterprises - Related Parties.

Disclosure of Relationships and Transactions", which requires the disclosure of key management personnel as related parties and their remuneration as a major related party transaction, defines key management personnel as those who have the authority and are responsible for planning, directing and controlling corporate activities, which is the first disclosure requirement for remuneration information put forward in China.

In 1999, the ** Law came into force.

Article 61 stipulates that the annual report disclosed by a company listed and traded on corporate bonds shall include directors, supervisors, managers and relevant senior managers.

Brief introduction and its holdings.
Anonymous users2024-02-06

Not included. 1. Executives are also employees.

2. That's basically what it means. Total salary includes salary, social security, and benefits.

3. The total amount of average salary should be divided by the total number of employees; If you want to subtract executives, you should also subtract the salaries of executives, the problem is that you don't know their salaries (which are generally confidential), so they all say average salaries.

Personal returns that can be measured in cash and material can be called salaries, that is to say, salaries can be digitized, and the salaries, insurance, benefits, bonuses, commissions, etc. we pay to employees are salaries. When budgeting wages and labor costs, the amount we estimate is "salary".
Anonymous users2024-02-05

It cannot be found in the financial statements, and in the notes to the financial report of the annual report published by the listed company, the remuneration of the company's directors, supervisors and senior management personnel in the past year is recorded. The current liability column of the balance sheet (on the right) is the employee compensation account payable, but this place is too vague. You should look at the notes for the description of the specific salary payment method, such as the payment of wages in each period, salary incentives, training and tourism, and the equity distribution of incentives.

Particular attention should be paid to the composition of the remuneration of senior managers.

Extended Materials. Senior managers, i.e., senior managers, refer to those who hold important positions in the company's management, are responsible for the company's operation and management, and master the company's important information, mainly including managers, deputy managers, financial leaders, and secretaries of the board of directors. The board of directors of the listed company and other personnel specified in the articles of association.

At present, the mechanism and system of state-owned enterprises have become the focus. With the smooth progress of institutional reform and the improvement of corporate governance mechanisms, the fundamental problems that hinder the role of salary disclosure will be solved, which will inevitably increase the demand for this information. To this end, we would like to make the following suggestions on the content and form of disclosure in order to make disclosure more adequate.

1. Develop more effective methods for determining senior management compensation, such as business performance and results, to resist possible moral hazard and motivate managers to operate more effectively. Try to avoid "having both executive-level treatment and market-based annual salary" for senior executives of state-owned enterprises.

2. Disclose the components of wages. This requires a detailed analysis of the data source and its definition and description. Important matters are disclosed separately, and unimportant matters are combined with each other; If there are special matters, this family needs to be explained and explained to improve the reliability of the general map.

3. Expand the scope of wage disclosure and provide more complete data on total wages. Specifically, two aspects should be added to the total amount: one is the income received by senior managers from the long-term incentive plan, such as the value of ** options granted in the current period.

Although this kind of compensation is just emerging in China, as China's executive compensation incentives develop and improve, they are likely to become an important or even major part of their compensation; On the other hand, on-the-job consumption is an important part of the income of senior executives in China. If on-the-job consumption is not clearly defined and is not included in the scope of disclosure, executives can naturally avoid the disclosure of true wages through on-the-job consumption.