Oregon State will pay Jonathan Smith $1.9 million a season over five years to coach the football team.
Smith will receive a base salary of $950,000 with annual nonsalary compensation of $950,000.
Each season that Smith leads the Beavers to six or more wins will result in an addition of a year to his contract.
There's a big job ahead of Smith, a former OSU quarterback who returns to take over a program that has hit rock bottom.
Smith is aware that he has his work cut out for him.
"I'm excited about the opportunity to get with these guys," Smith said during his press conference on Thursday. "I'll continue to learn more about them, and there's no question everybody's got some work to get done and I'm excited to do it."
Former coach Gary Andersen was to make $2.65 million in 2017-18 and was headed to over $3 million by 2021-22.
The Beavers will have a little more money to spend on assistants. The assistant coach salary pool is $3.3 million, up from nearly $2.6 million for the most recent group.
Smith said the new staff could include some former Beavers.
"There are a bunch of guys out there doing really, really well and I think there's a bunch of guys out there doing really, really well because they started their foundation at this place," he said.
Smith was wearing his Pac-10 co-champions ring at Thursday's introductory press conference.
If he takes the Beavers to the Pac-12 championship game, he will earn an extra $100,000. That's just one of the compensation incentives included in the agreement.
Other incentives include $25,000 for eight regular-season wins, $50,000 for nine and $75,000 for 10. He will collect $25,000 for winning the Civil War and $25,000 for getting the Beavers to a bowl game.
Smith can rake in some big money if he coaches the Beavers to a College Football Playoff bowl game ($200,000). A berth in the College Football Playoff championship game is worth $300,000 and a title would be another $400,000. That just might result in Smith's selection as national coach of the year, which would bring him a $100,000 check.
Once the staff is filled out, recruiting will get on track.
In the meantime, Smith will go on the trail as soon as possible.
"We're looking to do that — at the earliest it would be Sunday but Monday for sure to be out on the road," Smith said on Thursday. "Because there are some players that are committed and there are some players that (have expressed) interest here in the last 24 hours."