This study examined the characteristics of performance-related pay (PRP) for teachers in the United States. From 1999 to 2007, the percentage of districts offering PRP and the percentage of teachers receiving PRP increased significantly. Large and ethnically diverse districts in urban areas with less union influence were more likely to offer PRP. Among the PRP recipients, teachers tended to receive more PRP when they had higher degrees and more experience and worked in districts with less union influence and a higher percentage of ethnically diverse students. However, highly qualified teachers in high demand were no more likely to receive a larger amount of PRP. (Contains 1 figure and 2 tables.)