exv10w21






EXHIBIT 10.21




PAYCHEX, INC.

2002 STOCK INCENTIVE PLAN

(as amended and restated effective October 13, 2010)




FORM OF RESTRICTED STOCK AWARD AGREEMENT (BOARD)



     1. Grant of Restricted Stock. This Restricted Stock Award Agreement (this “Award
Agreement”) sets forth the terms and conditions of the Restricted Stock Award (the “Award”) granted
to you by the Board of Directors of Paychex, Inc. (the “Company”) under the Company’s 2002 Stock
Incentive Plan, as amended and restated effective October 13, 2010 (the “Plan”), as described on
your Award Notice. The Award is subject to all of the provisions of the Plan, which is hereby
incorporated by reference and made a part of this Award Agreement. The capitalized terms used in
this Award Agreement are defined in the Plan.



     2. Restriction and Vesting.



          (a) Subject to the terms set forth in this Award Agreement and the Plan, provided you are
still a member of the Board of Directors of the Company, the total number of Shares represented by
the Award shall vest on the first anniversary of the date of grant set forth on your Award Notice
(a “Vesting Date”). The Committee shall have discretion to accelerate vesting in whole or in part
for events including but not limited to Retirement from Board service. The term “Retirement” means
retirement from the Board at age 55 or older with ten or more years of service with the Company.




          (b) Notwithstanding Section 2(a) of this Award Agreement, you shall not be permitted to sell
any vested Shares underlying the Award during the period of tenure as a member of the Company’s
Board of Directors, except as necessary to satisfy any tax obligations. The Company shall be
authorized to add a legend regarding this restriction on transfer to any certificate representing
the shares of Common Stock under the Award.




          (c) Unless the Committee determines otherwise, if your Board tenure terminates for any reason
other than death or Disability before the Shares represented by the Award have vested, then the
unvested Shares underlying the Award shall be forfeited and cancelled immediately. If your Board
tenure terminates due to death or Disability, your award shall immediately become 100% vested.




     3. Book-Entry Registration. The Award initially will be evidenced by book-entry
registration only, without the issuance of a certificate representing the Shares underlying the
Award.



     4. Issuance of Shares. The Company shall, when the conditions to vesting specified in
Section 2 of this Award Agreement are satisfied, issue a certificate or certificates representing
the Shares underlying the Award that have vested as promptly as practicable following the Vesting
Date of such Shares.



     5. Rights as a Stockholder. Except as otherwise provided by this Section, you will
have the rights of a stockholder with respect to the Shares underlying the Award, including, but
not limited to, the right to receive such cash dividends, if any, as may be declared on such Shares
from time to time and the right to vote (in person or by proxy) such Shares at any meeting of
stockholders of the



 









 




Company. Notwithstanding the foregoing, the dividends paid on any unvested Shares shall be
retained by the Company and held in escrow, trust or similar manner, and shall only be paid to you
upon the vesting of the underlying Shares to which the dividends relate; upon the forfeiture of any
Shares represented by the Award, your right to the dividends paid on the underlying Shares which
are forfeited shall also be forfeited.




     6. Restrictions on Transfer of Shares. The Award, and the right to vote the Shares
underlying the Award and to receive dividends thereon, may not, except as otherwise provided in the
Plan, be sold, assigned, transferred, pledged or encumbered in any way prior to the vesting of such
Shares, whether by operation of law or otherwise, except by will or the laws of descent and
distribution. After a Vesting Date, the vested Shares may be issued during your lifetime only to
you, or after your death to your designated beneficiary, or, in the absence of such beneficiary, to
your duly qualified personal representative.



     7. Rights of Company and Affiliates. This Award Agreement does not affect the right
of the Company or any Affiliate to take any corporate action whatsoever, including without
limitation its right to recapitalize, reorganize or make other changes in its capital structure or
business, merge or consolidate, issue bonds, notes, Shares or other securities, including preferred
stock, or options therefor, dissolve or liquidate, or sell or transfer any part of its assets or
business.



     8. Plan Controls. In the event of any conflict among the provisions of the Plan and
this Award Agreement, the provisions of the Plan will be controlling and determinative.



     9. Amendment. Except as otherwise provided by the Plan, the Company may only alter,
amend or terminate the Award with your consent.



     10. Governing Law. This Award Agreement shall be governed by and construed in
accordance with the laws of the State of New York, except as superseded by applicable federal law,
without giving effect to its conflicts of law provisions.



     11. Section 409A. The Award is intended to qualify for an exemption from the
requirements of Section 409A of the Internal Revenue Code of 1986, as amended, and the treasury
regulations promulgated and other official guidance issued thereunder, and the Plan and this Award
Agreement shall be administered and interpreted consistent with such intention.



* * * * *






2