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This quantitative study assessed the impact of performance-based pay on student achievement in English Language Arts (ELA) and mathematics. Performance-based pay is rooted in the belief that teachers will exert greater effort to enhance student outcomes when their efforts are incentivized. While traditional salary schedules are widely used, their effectiveness is debated. Since the elimination of the Teacher Advancement Program (TAP), limited research has explored the impact of performance-based pay on student achievement. Eight research questions were examined in this study to determine the effects of traditional versus traditional and performance based pay on student achievement. The implications on gender and racial ethnicity were examined as well. The study compared data from two distinct time periods: fall 2021 and spring 2022, representing the traditional compensation-only period, and fall 2022 and spring 2023, representing the traditional and performance-based compensation period. Descriptive statistics was utilized to summarize data, including school count, gender, and racial ethnicity. The ANOVA test was used to determine mean differences in student achievement between teachers with traditional and traditional and performance based- pay. The findings showed no significant difference in ELA student achievement between teachers receiving traditional and performance-based pay versus traditional pay only (F (1, 1547 = 0.32; p > 0.57). However, in mathematics, a significant difference was observed with a slight increase in scores for teachers receiving traditional plus performance-based compensation (F (1, 1382 = 11.85; p < 0.0006). While gender and race exhibited significant effects independently, these effects became non-significant when considering salary structure interactions. [The dissertation citations contained here are published with the permission of ProQuest LLC. Further reproduction is prohibited without permission. Copies of dissertations may be obtained by Telephone (800) 1-800-521-0600. Web page: http://www.proquest.com/en-US/products/dissertations/individuals.shtml.]