These samples help assess and validate procedures utilized and confirm calculations for individual payouts for the current plan year for the executive annual incentive plan. The key objectives include verifying that key performance indicators (KPIs) utilized in the annual plans and those approved by the executive compensation committee; verifying that the achievement of each KPI agrees with source documents for year-end results for each KPI identified in the annual plans and validate the accuracy of applicable spreadsheet calculations utilized for determining annual plan results.

Questions to consider in these programs include: Who makes the decisions about executive compensation? Is there a compensation committee of the board of directors composed of independent directors?