Company: INSP
Filing Date: 2025-03-18
Form Type: DEF 14A
Source: 0001140361-25-009249
Chunk: 50

Company: Inspire Medical Systems, Inc.
Filing Date: 2025-03-18
Form: DEF 14A
Chunk 50
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 stable income; |

| • | Annual Performance-Based Incentive Compensation. Performance-based cash bonuses promote short-term performance objectives and reward executives for their contributions toward achieving those objectives; and |

| • | Equity-Based Long-Term Incentive Compensation. Equity compensation, provided in the form of stock options, RSUs, and PSUs, aligns executives’ interests with our stockholders’ interests and emphasizes long-term financial performance. |

| Inspire Medical Systems, Inc. |     | 41 |     | 2025 Proxy Statement |

TABLE OF CONTENTS

| EXECUTIVE COMPENSATION |

In addition, our NEOs are eligible to participate in our health and welfare programs and our 401(k) plan on the same basis as our other employees. Each of these elements of compensation for fiscal 2024 is described further below. Base Salaries The base salaries of our NEOs are an important part of their total compensation package. Base salary is a visible and stable fixed component of our compensation program. In determining base salary levels, the Organization and Compensation Committee considers individual contributions to business outcomes, the scope and complexity of each role, future potential, market data, and internal pay equity. The increases to the base salaries of our NEOs were intended to bring each NEO’s salary closer to the market median for comparable executives in our peer group. Mr. Ban’s increase was also the result of a realignment of his total cash compensation package to move Mr. Ban from a commission-based incentive plan to our MIP (which provides a lower maximum payout relative to Mr. Ban’s prior commission-based incentive plan). The following table sets forth the base salaries of our NEOs for fiscal 2024:

| Name                 |     |     2023 Base 
 Salary ($)(1) |     |     2024 Base 
 Salary ($)(1) |     | %Change |
| Timothy P. Herbert   |     |       690,000 |     |       725,190 |     | 5.1%    |
| Randall A. Ban       |     |       370,466 |     |       474,197 |     | 28.0%   |
| Richard J. Buchholz  |     |       446,676 |     |       457,844 |     | 2.5%    |
| Bryan K. Phillips    |     |       417,375 |     |       431,983 |     | 3.5%    |
| Carlton