PRINCIPAL FINANCIAL GROUP INC, DEF 14A filed on 4/3/2023
Proxy Statement (definitive)
v3.23.1
Cover
12 Months Ended
Dec. 31, 2022
Document Information [Line Items]  
Document Type DEF 14A
Amendment Flag false
Entity Information [Line Items]  
Entity Registrant Name PRINCIPAL FINANCIAL GROUP, INC.
Entity Central Index Key 0001126328
v3.23.1
Pay vs Performance Disclosure
pure in Millions
12 Months Ended
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Dec. 31, 2020
USD ($)
Pay vs Performance Disclosure [Table]      
Pay vs Performance [Table Text Block]
Pay Versus Performance Table
The following table sets forth the relationship between the executive Compensation Actually Paid and the financial performance during 2020, 2021, and 2022.
Year
Summary
Compensation
Table Total
for PEO
1
Compensation
Actually Paid
to PEO
1,3
Average
Summary
Compensation
Table Total
for Non-PEO
NEOs
2
Average
Compensation
Actually
Paid to
Non-PEO
NEOs
2,3
Value of Initial Fixed $100
Investment Based On:
Net
Income
(in millions)
Non-GAAP
Operating
Earnings
5
(in millions)
Total
Shareholder
Return
Peer Group Total
Shareholder
Return
4
2022
$13,804,149
$22,473,839
$4,697,081
$8,266,843
$172.34
$128.51
$4,852.2
$1,700.9
2021
$17,566,163
$31,100,475
$5,217,527
$7,648,364
$143.50
$136.28
$1,757.4
$1,847.6
2020
$15,614,418
$9,494,060
$4,508,046
$3,145,730
$94.81
$100.64
$1,428.5
$1,366.4
1
Daniel J. Houston was our Chief Executive Officer in all years reported.
2
During 2022 our non-PEO NEOs consisted of Deanna D. Strable-Soethout, Patrick G. Halter, Amy C. Friedrich, and Natalie Lamarque. During 2021 our non-PEO NEOs consisted of Deanna D. Strable-Soethout, Patrick G. Halter, Amy C. Friedrich and Renee Schaff. During 2020 our non-PEO NEOs consisted of Deanna D. Strable-Soethout, Patrick G. Halter, Timothy M. Dunbar and Luis Valdes.
3
Adjustments were as follows:
Adjustments to Determine
“Compensation Actually Paid”
for PEO and Non-PEO NEOs
2022
2021
2020
PEO
NEOs
PEO
NEOs
PEO
NEOs
Deduction for Change in the Actuarial Present Values reported under the “Change in Pension Value and Nonqualified Deferred Compensation Earnings” Column of the SCT
$598,475
$2,724
$1,699,323
$680,106
$4,010,196
$815,417
Increase for “Service Cost” for Pension Plans
$474,380
$107,628
$504,001
$152,460
$481,662
$88,879
Increase for “Prior Service Cost” for Pension Plans
$0
$0
$0
$0
$0
$0
Deduction for Amounts Reported under the “Stock Awards” Column in the SCT
$8,540,764
$2,933,301
$4,275,014
$912,107
$3,874,991
$936,869
Deduction for Amounts Reported under the “Option Awards” Column in the SCT
$0
$0
$4,275,011
$912,131
$3,874,991
$936,875
Increase for Fair Value of Awards Granted during year that Remain Unvested as of Year-end
$11,481,425
$3,777,323
$12,034,239
$2,535,846
$7,148,050
$1,716,941
Increase for Fair Value of Awards Granted during year that Vest during year
$0
$0
$0
$0
$0
$0
Increase/deduction for Change in Fair Value from prior Year-end to current Year-end of Awards Granted Prior to year that were Outstanding and Unvested as of Year-end
$4,832,278
$810,800
$8,686,222
$1,747,456
$(1,850,959)
$(449,330)
Adjustments to Determine
“Compensation Actually Paid”
for PEO and Non-PEO NEOs
2022
2021
2020
PEO
NEOs
PEO
NEOs
PEO
NEOs
Increase/deduction for Change in Fair Value from prior Year-end to Vesting Date of Awards Granted Prior to year that Vested during year
$76,681
$8,011
$1,797,970
$343,818
$(725,573)
$(173,995)
Deduction of Fair Value of Awards Granted Prior to year that were Forfeited during year
$0
$0
$0
$0
$0
$0
Increase based upon Incremental Fair Value of Awards Modified during year
$0
$0
$0
$0
$0
$0
Increase based on Dividends or Other Earnings Paid during year prior to Vesting Date of Award
$944,165
$1,802,025
$761,228
$155,602
$586,641
$144,351
Total Adjustments
$8,669,690
$3,569,762
$13,534,312
$2,430,837
$(6,120,358)
$(1,362,316)
4
Peer Group used is the S&P 500 Financials Index.
5
See non-GAAP financial measure reconciliations in Appendix B.
   
Company Selected Measure Name Non-GAAP Operating Earnings    
Named Executive Officers, Footnote [Text Block]
1
Daniel J. Houston was our Chief Executive Officer in all years reported.
2
During 2022 our non-PEO NEOs consisted of Deanna D. Strable-Soethout, Patrick G. Halter, Amy C. Friedrich, and Natalie Lamarque. During 2021 our non-PEO NEOs consisted of Deanna D. Strable-Soethout, Patrick G. Halter, Amy C. Friedrich and Renee Schaff. During 2020 our non-PEO NEOs consisted of Deanna D. Strable-Soethout, Patrick G. Halter, Timothy M. Dunbar and Luis Valdes.
   
Peer Group Issuers, Footnote [Text Block]
4
Peer Group used is the S&P 500 Financials Index.
   
PEO Total Compensation Amount $ 13,804,149 $ 17,566,163 $ 15,614,418
PEO Actually Paid Compensation Amount $ 22,473,839 31,100,475 9,494,060
Adjustment To PEO Compensation, Footnote [Text Block]
3
Adjustments were as follows:
Adjustments to Determine
“Compensation Actually Paid”
for PEO and Non-PEO NEOs
2022
2021
2020
PEO
NEOs
PEO
NEOs
PEO
NEOs
Deduction for Change in the Actuarial Present Values reported under the “Change in Pension Value and Nonqualified Deferred Compensation Earnings” Column of the SCT
$598,475
$2,724
$1,699,323
$680,106
$4,010,196
$815,417
Increase for “Service Cost” for Pension Plans
$474,380
$107,628
$504,001
$152,460
$481,662
$88,879
Increase for “Prior Service Cost” for Pension Plans
$0
$0
$0
$0
$0
$0
Deduction for Amounts Reported under the “Stock Awards” Column in the SCT
$8,540,764
$2,933,301
$4,275,014
$912,107
$3,874,991
$936,869
Deduction for Amounts Reported under the “Option Awards” Column in the SCT
$0
$0
$4,275,011
$912,131
$3,874,991
$936,875
Increase for Fair Value of Awards Granted during year that Remain Unvested as of Year-end
$11,481,425
$3,777,323
$12,034,239
$2,535,846
$7,148,050
$1,716,941
Increase for Fair Value of Awards Granted during year that Vest during year
$0
$0
$0
$0
$0
$0
Increase/deduction for Change in Fair Value from prior Year-end to current Year-end of Awards Granted Prior to year that were Outstanding and Unvested as of Year-end
$4,832,278
$810,800
$8,686,222
$1,747,456
$(1,850,959)
$(449,330)
Adjustments to Determine
“Compensation Actually Paid”
for PEO and Non-PEO NEOs
2022
2021
2020
PEO
NEOs
PEO
NEOs
PEO
NEOs
Increase/deduction for Change in Fair Value from prior Year-end to Vesting Date of Awards Granted Prior to year that Vested during year
$76,681
$8,011
$1,797,970
$343,818
$(725,573)
$(173,995)
Deduction of Fair Value of Awards Granted Prior to year that were Forfeited during year
$0
$0
$0
$0
$0
$0
Increase based upon Incremental Fair Value of Awards Modified during year
$0
$0
$0
$0
$0
$0
Increase based on Dividends or Other Earnings Paid during year prior to Vesting Date of Award
$944,165
$1,802,025
$761,228
$155,602
$586,641
$144,351
Total Adjustments
$8,669,690
$3,569,762
$13,534,312
$2,430,837
$(6,120,358)
$(1,362,316)
   
Non-PEO NEO Average Total Compensation Amount $ 4,697,081 5,217,527 4,508,046
Non-PEO NEO Average Compensation Actually Paid Amount $ 8,266,843 7,648,364 3,145,730
Adjustment to Non-PEO NEO Compensation Footnote [Text Block]
3
Adjustments were as follows:
Adjustments to Determine
“Compensation Actually Paid”
for PEO and Non-PEO NEOs
2022
2021
2020
PEO
NEOs
PEO
NEOs
PEO
NEOs
Deduction for Change in the Actuarial Present Values reported under the “Change in Pension Value and Nonqualified Deferred Compensation Earnings” Column of the SCT
$598,475
$2,724
$1,699,323
$680,106
$4,010,196
$815,417
Increase for “Service Cost” for Pension Plans
$474,380
$107,628
$504,001
$152,460
$481,662
$88,879
Increase for “Prior Service Cost” for Pension Plans
$0
$0
$0
$0
$0
$0
Deduction for Amounts Reported under the “Stock Awards” Column in the SCT
$8,540,764
$2,933,301
$4,275,014
$912,107
$3,874,991
$936,869
Deduction for Amounts Reported under the “Option Awards” Column in the SCT
$0
$0
$4,275,011
$912,131
$3,874,991
$936,875
Increase for Fair Value of Awards Granted during year that Remain Unvested as of Year-end
$11,481,425
$3,777,323
$12,034,239
$2,535,846
$7,148,050
$1,716,941
Increase for Fair Value of Awards Granted during year that Vest during year
$0
$0
$0
$0
$0
$0
Increase/deduction for Change in Fair Value from prior Year-end to current Year-end of Awards Granted Prior to year that were Outstanding and Unvested as of Year-end
$4,832,278
$810,800
$8,686,222
$1,747,456
$(1,850,959)
$(449,330)
Adjustments to Determine
“Compensation Actually Paid”
for PEO and Non-PEO NEOs
2022
2021
2020
PEO
NEOs
PEO
NEOs
PEO
NEOs
Increase/deduction for Change in Fair Value from prior Year-end to Vesting Date of Awards Granted Prior to year that Vested during year
$76,681
$8,011
$1,797,970
$343,818
$(725,573)
$(173,995)
Deduction of Fair Value of Awards Granted Prior to year that were Forfeited during year
$0
$0
$0
$0
$0
$0
Increase based upon Incremental Fair Value of Awards Modified during year
$0
$0
$0
$0
$0
$0
Increase based on Dividends or Other Earnings Paid during year prior to Vesting Date of Award
$944,165
$1,802,025
$761,228
$155,602
$586,641
$144,351
Total Adjustments
$8,669,690
$3,569,762
$13,534,312
$2,430,837
$(6,120,358)
$(1,362,316)
   
Compensation Actually Paid vs. Total Shareholder Return [Text Block]
Compensation Actually Paid vs. Total Shareholder Return
[MISSING IMAGE: bc_paidvsshareholder-pn.jpg]
   
Compensation Actually Paid vs. Net Income [Text Block]
Compensation Actually Paid vs. Net Income ($M)
[MISSING IMAGE: bc_paidvsnetincome-pn.jpg]
   
Compensation Actually Paid vs. Company Selected Measure [Text Block]
Compensation Actually Paid vs. Non-GAAP Operating Earnings1
[MISSING IMAGE: bc_paidvsgaapoperating-pn.jpg]
1
See non-GAAP financial measure reconciliations in Appendix B.
   
Tabular List [Table Text Block]
Pay Versus Performance—Tabular List of Most Important Financial Performance Measures
Financial Performance Measures
Non-GAAP Operating Earnings
Non-GAAP Return on Equity
Operating Margin
   
Total Shareholder Return Amount $ 172.34 143.5 94.81
Peer Group Total Shareholder Return Amount 128.51 136.28 100.64
Net Income (Loss) $ 4,852,200,000 $ 1,757,400,000 $ 1,428,500,000
Company Selected Measure Amount 1,700.9 1,847.6 1,366.4
PEO Name Daniel J. Houston Daniel J. Houston Daniel J. Houston
Measure [Axis]: 1      
Pay vs Performance Disclosure [Table]      
Measure Name Non-GAAP Operating Earnings    
Non-GAAP Measure Description [Text Block]
5
See non-GAAP financial measure reconciliations in Appendix B.
   
Measure [Axis]: 2      
Pay vs Performance Disclosure [Table]      
Measure Name Non-GAAP Return on Equity    
Measure [Axis]: 3      
Pay vs Performance Disclosure [Table]      
Measure Name Operating Margin    
PEO [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount $ 8,669,690 $ 13,534,312 $ (6,120,358)
PEO [Member] | Change In Pension Value And Non-qualified Deferred Compensation Earnings [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 598,475 1,699,323 4,010,196
PEO [Member] | Change In Service Cost For Pension Plans [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 474,380 504,001 481,662
PEO [Member] | Change In Prior Service Cost For Pension Plan [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 0 0 0
PEO [Member] | Stock Awards Adjustments [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 8,540,764 4,275,014 3,874,991
PEO [Member] | Option Awards Adjustments [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 0 4,275,011 3,874,991
PEO [Member] | Change In Fair Value Of Awards Granted During Year That Remain Unvested As Of Year-end [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 11,481,425 12,034,239 7,148,050
PEO [Member] | Change In Fair Value Of Awards Granted During Year The Vest During Year [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 0 0 0
PEO [Member] | Change In Fair Value From Prior Year End To Current Year End Of Awards Granted Prior To Year That Were Outstanding And Unvested As Of Year End [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 4,832,278 8,686,222 (1,850,959)
PEO [Member] | Change In Fair Value From Prior Year End To Vesting Date Of Awards Granted Prior To Year That Vested During Year [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 76,681 1,797,970 (725,573)
PEO [Member] | Change In Fair Value Of Awards Granted Prior To Year That Were Forfeited During Year [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 0 0 0
PEO [Member] | Increase Based Upon Incremental Fair ValueO f Awards Modified During Year [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 0 0 0
PEO [Member] | Increase Based On Dividends Or Other Earnings Paid During Year Prior To Vesting Date OF Awards [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 944,165 761,228 586,641
Non-PEO NEO [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 3,569,762 2,430,837 (1,362,316)
Non-PEO NEO [Member] | Change In Pension Value And Non-qualified Deferred Compensation Earnings [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 2,724 680,106 815,417
Non-PEO NEO [Member] | Change In Service Cost For Pension Plans [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 107,628 152,460 88,879
Non-PEO NEO [Member] | Change In Prior Service Cost For Pension Plan [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 0 0 0
Non-PEO NEO [Member] | Stock Awards Adjustments [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 2,933,301 912,107 936,869
Non-PEO NEO [Member] | Option Awards Adjustments [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 0 912,131 936,875
Non-PEO NEO [Member] | Change In Fair Value Of Awards Granted During Year That Remain Unvested As Of Year-end [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 3,777,323 2,535,846 1,716,941
Non-PEO NEO [Member] | Change In Fair Value Of Awards Granted During Year The Vest During Year [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 0 0 0
Non-PEO NEO [Member] | Change In Fair Value From Prior Year End To Current Year End Of Awards Granted Prior To Year That Were Outstanding And Unvested As Of Year End [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 810,800 1,747,456 (449,330)
Non-PEO NEO [Member] | Change In Fair Value From Prior Year End To Vesting Date Of Awards Granted Prior To Year That Vested During Year [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 8,011 343,818 (173,995)
Non-PEO NEO [Member] | Change In Fair Value Of Awards Granted Prior To Year That Were Forfeited During Year [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 0 0 0
Non-PEO NEO [Member] | Increase Based Upon Incremental Fair ValueO f Awards Modified During Year [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 0 0 0
Non-PEO NEO [Member] | Increase Based On Dividends Or Other Earnings Paid During Year Prior To Vesting Date OF Awards [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount $ 1,802,025 $ 155,602 $ 144,351