What happens to commission accelerators after the defined period?

• A. Accelerators carry over automatically to the next period.
• B. Accelerators reset to zero and remain off.
• C. They are paid only at year end.
• D. Accelerators don’t carry over unless explicitly stated.

Answer: (D)

Accelerators are designed to reward performance within a defined period, and their value is realized within that same period. When the period ends, they typically reset to zero for the next period unless the plan explicitly allows a carryover. This is why accelerators don’t carry over unless explicitly stated; it keeps each period’s incentives self-contained and avoids automatic cross-period carryover. The other options imply automatic carryover, permanent zero, or a year-end-only payout, which aren’t standard defaults unless the plan specifically says so.