Exhibit 10.1

 

	

    	
2014 Incentive Compensation Plan
    Effective January 1, 2014
    Personal and Confidential
    


 

	
Employee              Robert E. Balletto
    	
2014   Base Salary
    	
$
    	
194,000
    	
 
    	
 
    	
 
    
	
Title                        President/CEO
    	
2014   Bonus Target
    	
18
    	
%
    	
$
    	
34,920
    	
 
    
								


 

Thresholds           Maintain CAMELS rating at one of the two highest ratings

Maintain an Asset Quality rating of “Satisfactory” or better

Maintain Loan Quality Control rating at “Satisfactory” or better

 

Goal #1:                Achieve Return on Assets

 

	
Annual   Payout Target
    	
30%
    	
=
    	
$
    	
10,476
    	
 
    


 

	
 
    	
 
    	
Payout
    	
 
    
	
Goals
    	
 
    	
 
    	
 
    
	
95% of Budget
    	
 
    	
$
    	
3,457
    	
 
    
	
At Budget
    	
 
    	
$
    	
6,914
    	
 
    
	
106% of Budget
    	
 
    	
$
    	
10,476
    	
 
    
	
Stretch Goal
    	
 
    	
 
    	
 
    
	
Every .03% over 106% of Budget
    	
 
    	
$
    	
3,457
    	
 
    


 

Goal #2:                Total Mortgage Banking Income

 

	
Annual   Payout Target
    	
30%
    	
=
    	
$
    	
10,476
    	
 
    


 

	
 
    	
 
    	
Payout
    	
 
    
	
Goals
    	
 
    	
 
    	
 
    
	
At Budget 
    	
 
    	
$
    	
5,238
    	
 
    
	
110% of Budget 
    	
 
    	
$
    	
10,476
    	
 
    
	
Stretch Goal
    	
 
    	
 
    	
 
    
	
Every $118K over 110% of Budget
    	
 
    	
$
    	
3,492
    	
 
    


 

Goal #3:                Achieve Efficiency Ratio

 

	
Annual   Payout Target
    	
40%
    	
=
    	
$
    	
13,968 
    	
 
    


 

	
 
    	
 
    	
Payout
    	
 
    
	
Goals
    	
 
    	
 
    	
 
    
	
102% of Budget
    	
 
    	
$
    	
4,656
    	
 
    
	
At Budget
    	
 
    	
$
    	
9,312
    	
 
    
	
97% of Budget
    	
 
    	
$
    	
13,968
    	
 
    
	
Stretch Goal
    	
 
    	
 
    	
 
    
	
Every 2% under 97% of Budget
    	
 
    	
$
    	
4,656
    	
 
    


 

NOTES:

 

Bonus targets are based on Georgetown Bancorp Inc. 2014 budget.

All dollar figures are based on  estimates of annualized salary.  Incentive payments are based on the employee’s actual base compensation for the fiscal year, which includes  straight time pay,  vacation, holiday, personal, sick and jury duty pay.   Overtime and other payments including previous year’s bonus payout will be excluded from the calculation.

 

To be eligible for the Incentive Compensation, the employee must be actively employed, performing at a level of “satisfactory” or above, and not be on a written warning at the time of the incentive payment.

 

The Bank shall have the right to rescind and recoup or “clawback” incentive payments paid under this plan if the Compensation Committee concludes that such awards were paid out based on information that is later found to be materially incorrect, including payments that were determined, in whole or in part, on financial statement information that is subsequently restated.

 

By signing below I confirm receipt of my Incentive Compensation Plan and my understanding of the provisions stated above.

 

 

	
 
    	
 
    	
 
    
	
Robert   E. Balletto
    	
 
    	
Date
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Kathleen   R. Sachs, Director
    	
 
    	
Date
    
	
Chair,   Compensation Committee