Document:

EX-10.12

 Exhibit 10.12 

THE BANK OF PRINCETON 

2018 DIRECTOR FEE PLAN 

Section 1. Purpose; Definitions. The purposes of The Bank of Princeton 2018 Director Fee Plan (the “Plan”)
is to advance the interests of The Bank of Princeton (the “Bank”) and its shareholders by aligning the interests of the Bank and its shareholders with the Board of Directors of the Bank (the “Board”) who are not
employees of the Bank (the “Non-Employee Directors”) by permitting Non-Employee Directors to elect to receive a specified percentage of fees for
services on the Board in the form of shares of the Bank’s equity securities. Accordingly, the Plan permits the payment of all or a portion of the compensation payable to Non-Employee Directors for service
on the Board and committees of the Board in shares of the Bank’s common stock, par value $5.00 (“Shares”). 
 For
purposes of the Plan, the following terms will have the meanings defined below, unless the context clearly requires a different meaning: 

“Affiliate” means any Person that directly or indirectly controls, or is controlled by, or is under common control with the
Bank (or its successors). 
 “Board” means the Board of Directors of the Bank, as constituted from time to time;
provided, however, that if the Board appoints a Committee to perform some or all of the Board’s administrative functions hereunder, references in the Plan to the “Board” will be deemed to also refer to that Committee in
connection with matters to be performed by that Committee. 
 “Code” means the Internal Revenue Code of 1986, as amended
from time to time, and any successor thereto. 
 “Committee” means a committee appointed by the Board in accordance with
Section 2 of the Plan. 
 “Director” means a member of the Board. 

“Exchange Act” means the Securities Exchange Act of 1934, as amended. 

“Fair Market Value” means, as of any date: (i) if the Shares are not then publicly traded, the value of such Shares on
that date, as determined by the Board in its sole and absolute discretion; or (ii) if the Shares are publicly traded, on the most recent preceding day on which there was a trade, the closing price for a Share on the principal national
securities exchange on which the Shares are listed or admitted to trading or, if the Shares are not listed or admitted to trading on any national securities exchange, but are traded in the over-the-counter market, the closing sale price of a Share or, if no sale is publicly reported, the average of the closing bid and asked prices, as furnished by two members of the Financial Industry
Regulatory Authority, Inc. who make a market in the Shares selected from time to time by the Bank for that purpose. 
 “Non-Employee Director” will have the meaning set forth in Rule 16b-3(b)(3)(i) promulgated by the Securities and Exchange Commission under the Exchange Act, or any
successor definition adopted by the Securities and Exchange Commission. 
 “Parent” means, in respect of the Bank, a
“parent corporation” as defined in Section 424(e) of the Code. 
 “Participant” means a Non-Employee Director. 

 “Person” means an individual, partnership, corporation, limited liability
company, trust, joint venture, unincorporated association, or other entity or association. 
 “Shares” means shares of the
Bank’s common stock, par value $5.00, subject to substitution or adjustment as provided in Section 3.3 hereof. 

“Subsidiary” means, in respect of the Bank, a subsidiary company, as defined in Sections 424(f) and (g) of the
Code. 
 Section 2. Administration. 

2.1 The Plan will be administered by the Board; provided, however, that the Board may at any time appoint a Committee to perform some
or all of the Board’s administrative functions hereunder; and provided further, that the authority of any Committee appointed pursuant to this Section 2 will be subject to such terms and conditions as the Board may prescribe and
will be coextensive with, and not in lieu of, the authority of the Board hereunder. 
 2.2 Subject to the requirements of the Bank’s
bylaws and certificate of incorporation or any other agreement that governs the appointment of Board committees, any Committee to which some or all of the Board’s administrative functions are delegated under this Section 2 will be composed
of not fewer than two members, each of whom will serve for such period of time as the Board determines; provided, however, that if the Bank has a class of securities required to be registered under Section 12 of the Exchange Act, all
members of any such Committee will be Non-Employee Directors. From time to time the Board may increase the size of the Committee and appoint additional members thereto, remove members (with or without cause)
and appoint new members in substitution therefor, fill vacancies however caused, or remove all members of the Committee and thereafter directly administer the Plan. 

2.3 The Board will have full authority to administer the Plan. Such authority will include the right to: 

(a) adopt, alter and repeal such administrative rules, guidelines and practices governing the Plan as it, from time to time, deems advisable;

 (b) interpret the terms and provisions of the Plan; 

(c) correct any defect, supply any omission or reconcile any inconsistency in the Plan in the manner and to the extent it deems necessary to
carry out the intent of the Plan; and 
 (d) otherwise supervise the administration of the Plan. 

2.4 All decisions made by the Board pursuant to the provisions of the Plan will be final and binding on all persons, including the Bank and
Participants. No Director will be liable for any good faith determination, act or omission in connection with the Plan. 
 Section 3.
Shares Subject to the Plan. 
 3.1 Limitations. 

(a) The Shares to be subject to the Plan will be authorized and unissued Shares of the Bank. The maximum number of Shares that may be issued
under the Plan is 150,000. The Bank will reserve for the purposes of the Plan, out of its authorized and unissued Shares, such number of Shares. 

  
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 (b) Subject to adjustment as provided in Section 3.2, no Participant may be issued
more than 5,000 Shares under the Plan in any single calendar year. 
 (c) No shares shall be issued at any time to any Participant if such
Participant is the beneficial owner of 9.9% or more of the outstanding Shares. 
 3.2 Other Adjustments. In the event of any
recapitalization, reorganization, merger, stock split or combination, stock dividend or other similar event or transaction (including, without limitation, any “corporate transaction,” within the meaning of Treasury Regulation §1.424-1(a)(3)), substitutions or adjustments will be made by the Board to the aggregate number, class and/or issuer of the securities reserved for issuance under the Plan. 

Section 4. Participation. 

4.1 Subject to the limitations of Section 3.1 of the Plan, each Non-Employee Director shall be
entitled to participate in the Plan. 
 Section 5. Election. 

5.1 The Board shall annually establish a dollar amount of semi-annual compensation (the “Semi-Annual Compensation”), payable
for services to be performed by the Non-Employee Directors, which fees shall be payable in cash or Shares as provided herein. 

5.2 Each Non-Employee Director shall designate in writing within sixty (60) days of the adoption
of the Plan, and thereafter annually prior to the start of a calendar year to which the Semi-Annual Compensation relates beginning January 1, 2019 (or in the event a Non-Employee Director commences
participation during the calendar year, such designation shall be made within thirty (30) days following the date he or she commenced participation), a percentage of Semi-Annual Compensation (the “Stock Component Percentage”)
payable in Shares (which percentage can be from 0% to 100% of Semi-Annual Compensation payable for any calendar year). 
 5.3 Any such
designation by a Non-Employee Director shall remain in place through the end of each calendar year; provided, however, that, subject to approval by the Committee, a
Non-Employee Director may amend such designation once during any of the first nine months of such calendar year (with such amended designation effective as of the first day of October and remaining in effect
for the remainder of the calendar year) by filing an amended designation with the Committee. 
 5.4 In the event that a Non-Employee Director fails to make a designation for any calendar year, the last previous designation made by the Non-Employee Director shall be deemed to be the designation
for such year. 
 Section 6. Payment of Non-Employee Director Compensation. There
shall be issued to each Non-Employee Director within thirty (30) days following June 1st and December
1st of each calendar year, the number of Shares, if any, determined by dividing (i) the product of (A) the Non-Employee Director’s
Semi-Annual Compensation payable for such preceding portion of the calendar year multiplied by the (B) the Stock Component Percentage, by (ii) the Fair Market Value of Shares on June 1st
or December 1st as applicable. To the extent that the application of the foregoing calculation would result in fractional shares being issued, cash (in an amount equal to the fractional share
otherwise payable multiplied by the Fair Market Value) shall be paid to the Non-Employee Director in lieu of such fractional share at such time as described below. There shall be a cash payment made to each Non-Employee Director within thirty (30) days following the end of each applicable portion of the calendar year in an amount equal to the portion of the Non-Employee
Director’s Semi-Annual Compensation that is not paid in Shares for such period or in lieu of a fractional share. 

  
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 Section 7. Amendments and Termination. The Board may amend, alter or
discontinue the Plan at any time, provided that no amendment, alteration or discontinuation will be made which, without the approval of such amendment within twelve (12) months of its adoption by the Board, by the Bank’s stockholders in a
manner consistent with Treas. Reg. §1.422-3 (or any successor provision), would: (i) increase the total number of Shares reserved for the purposes of the Plan (except as otherwise provided in
Section 3), or (ii) change the persons or class of persons eligible to participate in the Plan. 
 Section 8. General
Provisions. 
 8.1 The Board may require each Participant to represent to and agree with the Bank in writing that the Participant is
acquiring securities of the Bank for investment purposes and without a view to distribution thereof and as to such other matters as the Board believes are appropriate. 

8.2 All certificates for Shares or other securities delivered under the Plan will be subject to such
share-transfer orders and other restrictions as the Board may deem advisable under the rules, regulations and other requirements of any stock exchange upon which the Shares are then listed, and any applicable
securities laws, and the Board may cause a legend or legends to be put on any such certificates to make appropriate reference to such restrictions. 

8.3 Neither the adoption of the Plan nor the execution of any document in connection with the Plan will: (i) confer upon any Non-Employee Director any right to continued engagement with the Bank or an Affiliate of the Bank as a director or otherwise, or (ii) interfere in any way with the right of the Bank to terminate the engagement
of any Non-Employee Director at any time. 
 8.4 No later than the date as of which an amount first
becomes includible in the gross income of the Participant for federal income tax purposes with respect to any award under the Plan, the Participant will pay to the Bank, or make arrangements satisfactory to the Bank regarding the payment of taxes of
any kind required by law to be withheld with respect to such amount. The obligations of the Bank under the Plan will be conditioned on such payment or arrangements and the Bank will have the right to deduct any such taxes from any payment of any
kind otherwise due to the Participant. Unless otherwise determined by the Board, the minimum required withholding obligation with respect to an award may be settled in Shares, including the Shares that are subject to that award. 

8.5 Within two (2) business days after the issuance of any Shares to a Participant under Section 6 of the Plan, such Participant or
his or her designee shall file a Form 4 with the Federal Deposit Insurance Corporation pursuant to the requirements of the Exchange Act reporting the issuance of the Shares to the Participant. 

Section 9. Effective Date of Plan. 

9.1 The Plan will become effective on the date that it is approved by the stockholders of the Bank. 

  
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 Section 10. Term of Plan. 

10.1 The Plan will continue in effect until terminated in accordance with Section 7 or until the date on which no additional Shares are
available for issuance under the Plan. 
 Section 11. Invalid Provisions. 

11.1 In the event that any provision of this Plan is found to be invalid or otherwise unenforceable under any applicable law, such invalidity
or unenforceability will not be construed as rendering any other provisions contained herein as invalid or unenforceable, and all such other provisions will be given full force and effect to the same extent as though the invalid or unenforceable
provision was not contained herein. 
 Section 12. Governing Law. 

12.1 The Plan will be governed by and construed in accordance with the laws of the State of New Jersey, without regard to the application of
the principles of conflicts of laws. 
 Section 13. Board Action. 

13.1 Notwithstanding anything to the contrary set forth in the Plan, any and all actions of the Board or Committee, as the case may be, taken
under or in connection with the Plan and any agreements, instruments, documents, certificates or other writings entered into, executed, granted, issued and/or delivered pursuant to the terms hereof, will be subject to and limited by any and all
votes, consents, approvals, waivers or other actions of all or certain stockholders of the Bank or other persons required by: 
 (a) the
Bank’s certificate of incorporation (as the same may be amended and/or restated from time to time); 
 (b) the Bank’s bylaws (as
the same may be amended and/or restated from time to time); and 
 (c) any other agreement, instrument, document or writing now or
hereafter existing, between or among the Bank and its stockholders or other persons (as the same may be amended from time to time). 

Section 14. Notices. 

14.1 Any notice to be given to the Bank pursuant to the provisions of the Plan shall be given by registered or certified mail, postage
prepaid, and addressed, if to the Bank to its principal executive office to the attention of its Chief Risk Officer (or such other person as the Bank may designate in writing from time to time), and, if to a Participant, to the address contained in
the Bank’s personnel records, or to such other address as that Participant may hereafter designate in writing to the Bank. Any such notice shall be deemed given or delivered three days after the date of mailing. 

  
 5EX-10.13

 Exhibit 10.13 

THE BANK OF PRINCETON 

MANAGEMENT INCENTIVE PLAN 
  

	I.	 Introduction 

 

	 	A.	 Plan Objectives 

The Bank of Princeton Management Incentive Plan (“MIP” or the “Plan”) is designed to recognize and reward selected members
of the management team for their collective and individual contributions to the success of The Bank of Princeton (“TBOP” or the “Bank”). The Plan focuses on performance measures that are critical to TBOP’s growth,
profitability and maintenance of a strong capital position. 
 The objectives of the MIP are to: 

 

	 	•	 	 Reward results 

  

	 	•	 	 Align participant performance with TBOP’s Strategic Plan, Budget, and TBOP shareholder interests.

  

	 	•	 	 Enable TBOP to attract and retain talent needed to drive success. 

 

	 	•	 	 Motivate and reward participants for achieving /exceeding performance goals. 

 

	 	•	 	 Align pay with performance. 

 

	 	•	 	 Position TBOP’s total compensation to be competitive with the market. 

 

	 	•	 	 Encourage teamwork across the TBOP management team. 

 

	 	B.	 Effective Date/Plan Year 

This Plan is effective January 1, 2020 and will operate on a calendar year basis. The initial Plan Year will be from
January 1, 2020 to December 31, 2020. Thereafter, each Plan Year will be for a subsequent calendar year period until the Plan is modified or terminated. Unless otherwise determined by the Compensation/HR Committee of the Board
of Directors of the Bank (the “Committee”), the Performance Period under this Plan will be the Plan Year. 
  

	 	C.	 Administration 

This Plan has been developed and approved by the Committee and approved by the Board of Directors of TBOP. At least annually, the CEO and the
Committee will review the Plan to insure the performance criteria and compensation goals for the applicable Performance Period continue to align the Bank’s strategic plan with incentive payouts. The Committee (and its designees) are responsible
for interpreting the terms and conditions of the Plan. The Committee retains the right to amend, modify or discontinue this Plan and any benefits provided for under this Plan at any time due to business strategy change or for any other reason. The
determinations of the Committee shall be made in accordance with its judgment as to the best interests of TBOP and its stockholders and in accordance with the purposes of the Plan, and shall be final and conclusive on all persons. 

  
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 TBOP’s Finance Department is responsible for providing the CEO and Committee Chairman
with all calculations pertaining to the Plan. The Committee will review and approve all final Plan distributions and report the payouts to the Board of Directors of the Bank (the “Board”). 

 

	II.	 Eligibility/Participation 

 

	 	A.	 Eligibility 

Eligibility to participate in the Plan will be limited to those senior leaders listed on Exhibit A who are in a position to successfully
execute TBOP’s strategic plan resulting in increased shareholder value and superior employee and customer satisfaction. New employees must be employed by the last day of the third quarter of an applicable Plan Year to be eligible for an
Incentive Award under this Plan. 
  

	 	B.	 Participation 

The Committee, in consultation with the CEO is authorized to select eligible executives to participate in the Plan. The Committee has the right
to add or remove Participants from time to time. When a Participant is added during the course of a Plan Year, his/her Incentive Award Opportunity (if any) shall be prorated based upon length of service during the Plan Year, unless otherwise
determined by the Committee. 
 In addition to selecting Plan Participants, the Committee, in consultation with the CEO determines the
annual incentive award opportunities for each Participant (other than the CEO), the weighting of Bank versus individual performance goals (if any), and a summary of possible payouts. The performance goals and weightings for each Performance Period
will be communicated to the Participants. 
  

	III.	 Incentive Award Opportunities/Plan Performance Measures  

 

	 	A.	 Incentive Award Opportunity 

Threshold, target, and maximum award Incentive Award Opportunities are expressed as a percentage of each Participant’s base salary. 

Threshold Performance: The minimum level of performance needed to begin to be eligible to receive an Incentive Award. 

Target Performance: The budgeted, or expected, level of performance based upon both historical data and management’s best
judgment of expected performance during the Plan Year. 
 Maximum Performance: The level of performance which, based
upon historical performance and management’s judgment, would be exceptional or significantly beyond the expected. 

  
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 The Incentive Award Opportunity for each Participant for the applicable Performance Period
is communicated to each Participant through a scorecard. Incentive Award Opportunities are determined based on a combination of TBOP Performance Measures and may also include Individual Performance Measures (see “Performance
Measures” below). The actual award payouts are calculated using a ratable approach, where award payouts are calculated as a proportion of threshold, target, and maximum award opportunities. If actual performance falls between
a performance level the payout will also fall between the predefined performance level. Award calculations will be based on each Plan participant’s base salary as of December 31st of the applicable Performance Period. 

Incentive Awards may be distributed in cash and/or TBOP restricted share/units at the sole discretion of TBOP. The Committee may place vesting
conditions on Incentive Awards made in TBOP restricted shares/units. See “Distributions” for additional information. All restricted shares/units distributed from this Plan come from TBOP’s 2018 Equity Incentive Plan which was approved
by TBOP shareholders. 
 In order for the Incentive Plan to be funded and “activated”, the Bank must achieve a minimum performance
level, which is determined by the Committee and approved by the full Board of Directors. 
  

	 	B.	 Performance Measures 

Each Participant’s Incentive Award Opportunity will be based upon the achievement of Bank Performance Measures.
The Committee, in its sole discretion, may also include Individual Performance Measures. 

Bank Performance Measures 

The Committee, in its sole discretion, may select the Bank Performance Measures for any Performance Period. 

As soon as practicable after the end of each Performance Period and no later than March
15th of the Plan Year following the applicable Performance Period, or, if later, when the annual audited financial statements are finalized, the Committee shall certify the level at which the Bank
Performance Measures have been met and shall approve the amount and form of the Incentive Awards (if any). 
 Individual Performance
Measures (optional) 
 Individual Performance Measures reflect a Participant’s required contributions to the Bank and are
specific to each Participant. These include may include, but are not limited to: lending growth and deposit growth. The Committee shall take into consideration the advice of the CEO for purposes of selecting Individual Performance Measures for other
executive officers selected to participate in the Plan. 
 Scorecards 

Each Participant will have his/her own Plan scorecard which will set forth the applicable Performance Measures for each Performance Period. At
the close of the Performance Period, the scorecard will be updated with the results of the achievement of the Performance Measures. The Committee will review and approve the scorecards for payout. 

  
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	IV.	 Distributions 

 

	 	A.	 Distribution of Incentive Awards 

Unless otherwise specified in this Plan, Participants must be employed by the Bank on the date an Incentive Award is to be distributed or vests
in order to earn the Incentive Award under this Plan. (See exceptions for death and disability). Once earned, cash incentive awards and stock-based awards that are not subject to vesting conditions are processed through payroll and treated as
taxable income subject to tax and other withholdings for the Plan Year in which they are distributed or vest. Participants will recognize income from Incentive Awards distributed in the form of restricted TBOP shares/units (and subject to a vesting
schedule) once the units/shares vest. Like the cash awards, the value of the vested stock-based awards will be treated as taxable income subject to tax withholding. Incentive Awards earned under this Plan will be reported on a Participant’s
Form W-2 in the year the Incentive Award is earned. 
  

	V.	 General Terms and Conditions  

 

	 	A.	 Termination of Employment 

Termination for Cause or Voluntary Termination Prior to Normal Retirement Age 

If a Plan participant is involuntarily terminated for cause (as determined by the Compensation Committee in its sole discretion) or if the
termination is voluntary (for reasons other than retirement at normal retirement age (65)), prior to distribution and/or vesting of an Incentive Award, the Participant will forfeit all rights to the Incentive Award. 

Disability, Death, or Retirement 

If a Participant is disabled by an accident or illness, his/her Incentive Award will be prorated so that the award is based on the period of
active employment only. In the event of an approved leave of absence other than an absence due to disability, the Incentive Award Opportunity level for an applicable Plan Year will be adjusted to reflect the time in active status. 

In the event of death, the Bank will pay to the Participant’s estate the pro rata portion of the Incentive Award that had been earned by
the Participant as of the date of death. 
 Participants who retire at normal retirement age (65) during the Plan Year will receive a
prorated payout based on the period of active employment only (i.e. pro-rated as of the date of retirement). 

Involuntary Termination for Reasons Other Than Cause 

The Committee, in its sole discretion, may determine the treatment of Incentive Awards, unless otherwise provided for under an employment
agreement with the Bank. 

  
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	 	B.	 Communication 

As noted in Section III of this Plan, each Participant will receive a scorecard that outlines his or her Performance Measures for each
applicable Performance Period. The CEO will review the scorecard with each Participant and communicate the performance results at the close of each Plan Year. The Chairman of the Committee will review the CEO’s scorecard and related performance
with the CEO. 
  

	 	C.	 Recoupment/Forfeiture 

In the event TBOP determines that a Plan participant has altered, inflated, and/or inappropriately manipulated performance results under this
Plan or committed any other infraction of recognized ethical business standards that would cause financial, legal, reputational, or other harm to TBOP, the Plan participant will subject to disciplinary action up to and including termination of
employment and recoupment of earned incentive compensation. In addition, any incentive compensation as provided under this Plan to which a Participant would otherwise be entitled, and has not been paid, will be forfeited 

 

	 	D.	 Amendment or Termination 

The Bank has developed the Plan on the basis of existing business, market and economic conditions, current services, and staff assignments. If
substantial changes occur that affect these conditions, services, assignments, or forecasts, the Bank may add to, amend, modify or discontinue any of the terms or conditions of the Plan at any time with approval from the Compensation Committee. The
Committee may, at its sole discretion, terminate, change or amend any of the Plan as it deems appropriate. 
  

	 	E.	 Miscellaneous 

The Plan will not be deemed to give any Participant the right to be retained in the employ of the Bank, nor will the Plan interfere with the
right of the Bank to discharge any Participant at any time. 
 This Plan and the transactions and payments hereunder shall, in all respects,
be governed by, and construed and enforced in accordance with the laws of the state of New Jersey or applicable federal law. 
 Each
provision in this Plan is severable, and if any provision is held to be invalid, illegal, or unenforceable, the validity, legality and enforceability of the remaining provisions shall not, in any way, be affected or impaired thereby. 

It is intended that all incentives earned under the Plan shall constitute short-term deferrals for purposes of the regulations issued under
Internal Revenue Code Section 409A (“409A”) and that all provisions of this Plan shall be interpreted in all events in a manner consistent with such intent, to the extent 409A could apply. 

  
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 EXHIBIT A—PLAN PARTICIPANTS 

Edward Dietzler 

Daniel O’Donnell 

Stephanie Adkins 

George Rapp 

Christopher Tonkovich 

  
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