Company: ADP
Filing Date: 2025-09-25
Form Type: DEF 14A
Source: 0001308179-25-000607
Chunk: 45

Company: AUTOMATIC DATA PROCESSING INC
Filing Date: 2025-09-25
Form: DEF 14A
Chunk 45
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 fiscal years 2025 and 2024. |

A payout percentage of 132% was achieved under our PSU program as a result of our fiscal year 2025 adjusted net income growth and revenue ex-ZMPT growth. The payout percentage of 132% applies to year 1 of the fiscal year 2025 award, year 2 of the fiscal year 2024 award, and year 3 of the fiscal year 2023 award. In addition, the three-year rTSR performance period for the fiscal year 2023 PSU award concluded at the end of fiscal year 2025, with a final modifier performance achievement of +114.5% based on our TSR percentile rank of 68.1 relative to the S&P 500 (the fiscal year 2025 and 2024 awards remain subject to final adjustment based on rTSR performance over the respective three-year performance periods).

| Automatic Data Processing, Inc. – Proxy Statement   | | 44 |

| Compensation Discussion and Analysis |

As described in the table below, the financial metric payout percentages achieved for each of the individual three fiscal years in the applicable performance period are averaged to obtain the award level earned as a percentage of target. The three-year financial metric average is then subject to adjustment based on achievement of the three-year rTSR modifier, in order to determine the final award payout percentage of target. Based on this methodology, the fiscal year 2023 PSU award granted in September 2022 achieved a final payout of 137%, as summarized below.

| PSU    
 Award  |     | Financial Metric              
 Annual Achievement Percentage |      |        |     |      |        |     |      |     | Three-Year 
 Financial  
 Metric     
 Average    |      |     | Three-Year    
 rTSR Modifier |         |     | Award  
 Payout |      |     | Payout         
 Date           |
| Year 1 |     |                               |      | Year 2 |     |      | Year 3 |     |      |     |            |      |     |               |         |     |        |      |     |                |
| FY’23  |     |                               | 117% |        |     | 111% |        |     | 132% |     |            | 120% |     |               | +114.5% |     |        | 137% |     | September 2025 |
| FY’24  |     |                               | 111% |        |