CORPORATEGOVERNANCE Director Independence DirectorIndependence UndertheNasdaqlistingstandardsandourGovernanceGuidelines,theBoardmustconsistofamajorityofindependent directors. Annually, each director completesa questionnairedesignedto assistthe Boardin determiningwhetherthe director is independent,and whethermembersoftheARCCommitteeandtheCompensationCommitteesatisfyadditional SecuritiesandExchangeCommission(“SEC”)andNasdaqindependencerequirements.TheBoardhasadoptedguidelines setting forth certain categories of transactions,relationships and arrangementsthat it has deemed immaterial for purposes of determiningindependence. BasedonthereviewandrecommendationbytheGovernanceCommittee,theBoardanalyzedtheindependenceofeach director and has determinedthat Mses.Johnson,McGovern,MessemerandSarnoffandMessrs.Adkins,Christodoro, Donahoe,Dorman,Lores,MoffettandYearymeetthestandardsofindependenceundertheNasdaqlistingstandardsand theGovernanceGuidelines,includingthateachdirectorisfreeofanyrelationshipthatwouldinterferewiththeirindividual exerciseof independentjudgment. OurGovernanceGuidelinesprohibitCompanydirectorsfromservingasadirectororasanofficerofanothercompanythat maycauseasignificantconflictofinterest.OurGovernanceGuidelinesalsoprovidethatanydirectorwhohaspreviously beendeterminedtobeindependentmustinformtheBoardChairandourCorporateSecretaryofanysignificantchangein personalcircumstancesthatmaycausetheirstatusasanindependentdirectortochange,includingachangeinprincipal occupation,changeinprofessionalrolesandresponsibilities,statusasamemberoftheboardofanotherpubliccompany or retirement, in each case including changesthat may affect the continuedappropriatenessof Boardor committee membership.Insuchsituations,theGovernanceCommitteemakesarecommendationtotheBoardonthecontinued appropriatenessofsuchdirectorsBoardorcommitteemembership(s). BoardCommittees TheBoardhasthreeprincipalstandingcommittees:theARCCommittee,theCompensationCommitteeandthe GovernanceCommittee.Eachcommitteehasawrittencharterthataddresses,amongothermatters,thecommittees purposesandpolicy,compositionandorganization,dutiesandresponsibilitiesandmeetings.Thecommitteechartersare available in the governancesectionof our InvestorRelationswebsiteat https://investor.pypl.com/governance. Each charter permitstheapplicablecommittee,initsdiscretion,todelegatealloraportionofitsdutiesandresponsibilitiestoa subcommitteeoranymemberofthecommittee.Subjecttoapplicablelaw,listingstandardsandthetermsofitscharter, theCompensationCommitteealsomaydelegatedutiesandresponsibilitiestoanyofficer(s)oftheCompany. 22 •2023ProxyStatement