Kenny Payne is coming home to Louisville, and a payday awaits.

The University of Louisville Athletic Association Board of Directors on Friday approved a contract for the Cardinals' new men's basketball coach that will pay him $3,350,000 per year.

The deal is effective Monday and runs through March 31, 2028.

What are the details of Kenny Payne's contract?

The contract includes NCAA Tournament bonuses for first and second-round appearances in the tournament ($100,000), the round of 32 ($150,000), the Sweet 16 ($250,000), the Elite Eight ($300,000) and the Final Four ($400,000).

In subsequent appearances, Payne would be paid $25,000 for making the tournament, $25,000 for reaching the round of 32, $50,000 for reaching the Sweet 16, $75,000 for the Elite Eight and $100,000 for the Final Four.

The contract also includes a sentence stating if Louisville basketball receives a postseason ban stemming from NCAA infractions made before Payne was hired, his contract will extend one year for each year of such ban.

Payne would receive one-time bonuses for making ACC coach of the year ($25,000), national coach of the year ($50,000), an ACC Tournament championship ($50,000) and an NCAA title ($250,000).

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If Payne is still the coach at Louisville on April 1, 2025, he'll earn $300,000. If he's still coaching the Cardinals on April 1, 2028, he'll receive $1 million.

Payne receives a signing bonus of $100,000; a life insurance policy for $15 million; a family membership at the ULGC golf course; a car allowance of $1,000 per month; use of a suite at the KFC Yum Center for all men's basketball games; eight club seats to all men's and women's basketball and football games; eight seats for all away and postseason men's basketball games; and travel for his spouse and immediate family to all away games.

How much is Kenny Payne's buyout?

Payne will be paid $10 million if Louisville terminates the contract in year one, and that payout will decrease by $2 million each year.

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Payne has a $3 million buyout in the first year of his deal. That buyout drops by $500,000 in each subsequent year and is lessened if Payne leaves for an NBA head coaching position.

Payne, 55, has never been a head coach. He's in his second season as an assistant coach with the Knicks and spent 14 years as a college assistant, including 10 on John Calipari's staff at Kentucky.

He played at Louisville from 1985-89, finishing with 1,083 points and 476 rebounds in 128 games, starting 38. Payne was a member of the Cardinals' 1986 NCAA championship team and was an assistant coach on Kentucky's 2012 national championship squad.

Where does Kenny Payne's contract stack up to current ACC coaches?

Payne's $3,350,000 a year contract is among the middle of the pack as far as ACC coaches' salaries are concerned.

Mike Krzyzewski tops the list by far with a whopping $7.3 million in the 2019 calendar year, the most recent available from Duke's federal tax records. Pitt's Jeff Capel pulled in $3.53 million in 2019, and Virginia coach Tony Bennett is raking in $3.6 million for this season.

Former Cardinals coach Chris Mack made $4.3 million before his departure. Kentucky coach John Calipari makes $8.6 million in total pay this year and Indiana coach Mike Woodson is making $3.125 million this year.

Calipari is the second-highest paid coach in college basketball this season behind Kansas' Bill Self, who is making $10.18 million, including $4.5 million in one-time retention pay. Self's recurring annual compensation is about $5.4 million.

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Here's the top 10 coaching salaries in the ACC

Mike Krzyzewski (Duke) - $7.3M

Tony Bennett (Virginia) - $3.6M

Jeff Capel (Pittsburgh) - $3.53M

Kenny Payne (Louisville)- $3.35M

Josh Pastner (Georgia Tech) - $3M

Jim Boeheim (Syracuse) - $2.79M

Kevin Keatts (NC State) - $2.75M

Brad Brownell (Clemson) - $2.6M

Mike Brey (Notre Dame) - $2.52M

Jim Larranaga (Miami) - $2.45M

Leonard Hamilton (FSU) - $2.25M

Mike Young (Virginia Tech) - $2.25M

Hubert Davis (North Carolina) - $1.8M

** Earl Grant of Boston College and Steve Forbes of Wake Forest aren't available.

This article originally appeared on Louisville Courier Journal: Kenny Payne's contract approved as Louisville basketball head coach