Company: ADP
Filing Date: 2025-09-25
Form Type: DEF 14A
Source: 0001308179-25-000607
Chunk: 96

Company: AUTOMATIC DATA PROCESSING INC
Filing Date: 2025-09-25
Form: DEF 14A
Chunk 96
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 and in the NASDAQ Dividend Achievers Select Index, respectively, beginning on June 30, 2020 and ending on June 30 of each respective fiscal year. |

| (4) | Reflects reported GAAP net income (net earnings) in the company’s Statements of Consolidated Comprehensive Income on Form 10-K for fiscal years 2025, 2024, 2023, 2022, and 2021. |

| (5) | Our company selected measure is adjusted net income growth, which is the most heavily weighted performance metric in the long-term incentive compensation program. The impact of certain items are excluded from the final results of adjusted net income growth as approved by the compensation and management development committee and can be referenced on page 44 for fiscal year 2025. Our adjusted net income measure also excludes the impact of certain |

| 93 | | | Automatic Data Processing, Inc. – Proxy Statement |

| Pay Versus Performance |

| one-time charges and benefits reflecting specific items that are not fundamental to our underlying business operations. Refer to the table in Appendix A for further detail on these items and a reconciliation from net earnings to adjusted net income for fiscal years 2025, 2024, and 2023. |

| (6) | The following table reflects the adjustments made to compensation reported in the Summary Compensation Table for our PEO and Other NEOs in fiscal year 2025 in order to calculate compensation actually paid. |

|                                                                                                            |     |          PEO |     | Other NEOs Average |
| Compensation Actually Paid                                                                                 |     |         2025 |     |               2025 |
| Start: SCT Table Total                                                                                     |     |  $19,137,192 |     |         $6,006,648 |
| Deduct: SCT reported Fair Value of Stock and Option Awards                                                 |     | -$14,791,040 |     |        -$4,262,403 |
| Deduct: SCT reported Change in Pension Value and Nonqualified Deferred Compensation Earnings               |     |     -$16,761 |     |           -$49,016 |
| Add: Year End Fair Value of Equity Awards Granted in the Year                                              |     |  $17,246,163 |     |         $5,960,257 |
| Add: Year over Year Change in Fair Value of Outstanding and Unvested Equity Awards                         |     |   $2,647,217 |     |         $1,596,903 |
| Add