Pay & Rewards
Overview
Belk provides competitive compensation designed to recognize your performance and reward your contributions to our business.
Depending on your function and level within the organization, your compensation may include base salary, overtime, quarterly and annual bonus, sales commissions, and other rewards.
Base Salary
At Belk, your base salary is the core component of your overall compensation package. It may be an annual salary or an hourly rate, depending on your job level.
Payroll & Taxes
Visit Workday to view your paycheck, update your tax filing information, manage your direct deposit, and more.
Bonus Plan
We want to further reward you for helping Belk meet and exceed its targets. The Belk Annual Incentive Plan (AIP) is designed to directly reward associates for performance, collaborative efforts and results that drive Belk’s success. The plan offers associates the opportunity to earn cash incentives in addition to their base pay.
Bonus Program Details
Who is eligible?
Eligible associates include:
- All Officers
- All full-time Corporate Associates, both hourly and salaried
- Store Managers and Assistant Store Managers
- Area and Regional Managers, such as Asset Protection, HR, and Operations Managers
- Salon Managers
- DC/FC and UES Management Staff and Salaried Associates
To be eligible for a payout, you must:
- Have completed 13 weeks of service as a participant in the plan
- Be actively employed by Belk at the time of payout
- NOTE: Your annual payout will be prorated based on weeks of service if you were not a participant for the full year
How is my bonus calculated?
Your bonus is determined by four factors:
- Your base pay as of the last day of the fiscal quarter or year
- Your target bonus % as of the last day of the fiscal quarter or year
- Your performance against measured goals (depending on role)
- EBITDA attainment
- Store Scorecard attainment
- Salon Sales and DCP
- Your performance against your own individual goals
Belk Performance Measures
The bonus program is designed to recognize a job well done, while keeping our mission to win together at the center of everything that we do. How you are measured depends on your role:
- For corporate, DC/FC, and UES bonus-eligible roles:
- 50%: Company EBITDA performance: (70% for Officers)
- 50%: Your individual performance: (30% for Officers)
- For Area GVPs and Regional VPs:
- 50%: Your regional sales
- 50%: Company EBITDA performance
- For stores:
- Your store’s performance against the Bonus Scorecard metrics
- For Salons:
- Your salons Sales and DCP
How Performance Determines Your Award
Belk Performance
For Bonus Scorecard or EBITDA performance measures, your payout level corresponds to the actual attainment of these measures vs your goal:
As the table below shows, there are three important performance levels:
- Threshold — the minimum attainment level required for any award payout. If performance does not meet this threshold in a given quarter or for the year, no awards are payable for the respective bonus plan measure.
- Target — represents achieving 100% of goal.
- Maximum — the maximum attainment level considered in the bonus plan, and the maximum award amount possible.
At threshold level performance, you are eligible for 50% of your target award. At target performance, you are eligible for 100% of your target award. At maximum performance, you are eligible for 200% of your target award.
| Annual Bonus Plan Measures | Threshold Performance | Target Performance | Maximum Performance |
|---|---|---|---|
| EBIDTA/Individual Performance | 75% | 100% | 125% |
| Store Scorecard | 75% | 100% | 125% |
| Salon Sales and DCP | 75% | 100% | 125% |
| Payout Opportunity vs. Target | 50% | 100% | 200% |
When performance is between levels, you’ll receive a corresponding percentage of your target award. For example, if Belk’s EBITDA performance is 90.0% attainment, which is between the threshold and target levels, your award will be 80% of your target; this is shown on the payout scales you can access here. Or, if Belk's performance is 110.0% attainment, which is almost halfway between the target and maximum levels, your award will be 140% of your target, which is also shown on the scales.
Your Individual Performance
For corporate associates with the individual performance-based measure, the payout level for this component corresponds to the same attainment measure as Company EBITDA performance. Your annual review rating could also impact your payout opportunity:
- Exceeds or Achieves* – up to 100% of your Individual Performance target award with the opportunity to earn above target based on Company EBITDA performance
- Needs Improvement – not eligible for individual performance payout
*Any bonus payout is contingent on Board approval.
Your Career Level
You are eligible for a target award equal to a percentage of your base pay, which may be an annual salary or an hourly rate. Ask your manager or HR Business Partner for this information if you haven’t already received it.
Your Base Salary
Your bonus will be calculated as a percentage of your base salary. Base pay is the core of your compensation from Belk. It may be an annual salary or an hourly rate, depending on your level. It is competitive and market-based, ensuring that this element of your compensation reflects current practices in the retail industry.
How frequently are payouts made?
For those with Bonus Scorecard or EBITDA measures, you are eligible for quarterly payouts based on the metric performance of each individual quarter. Any quarterly payout is capped at target. You are also eligible for an annual “true-up” payout at the end of the year. The annual true-up payout is based on the metric performance for the entire year. The payout, if earned, is equal to the annual metric performance payout amount LESS the amount of any quarterly payouts earned.
Officers are eligible for an annual payout based on the corresponding measure’s annual performance results.
For those with an individual performance-based measure, you are eligible for an annual payout based on your performance to your individual goals, and you have an opportunity to earn above target based on company EBITDA performance.
Associate Examples
Find out how the bonus plan could work for you by clicking on the following hypothetical examples:
Bonus Payout Timeline
The following table shows key dates for the bonus plan for FY22:
| Payout | Date Received in Paycheck |
|---|---|
| Q1 | May 21, 2021 |
| Q2 | August 27, 2021 |
| Q3 | November 19, 2021 |
| Q4 and Annual | TBD – March/April 2022 |