Michigan officially announces Jim Harbaugh as head coach, release contract details

Harbaugh officially introduced via statement

Before the Tuesday press conference, Michigan made the Harbaugh-Michigan marriage official via statement.

"We are excited to have Jim come home and lead our football program into the future," said interim athletic director Jim Hackett in a statement. "Since retiring from playing in the NFL, Jim has worked hard to become one of the elite coaches in the profession. He has been successful at every coaching stop and has done an exceptional job of molding and developing young men as football players, students and citizens. We believe that Jim is the perfect individual to balance the academic and athletic expectations that come with representing this football program and University."

Harbaugh also mentioned that coaching the Wolverines has been something he's dreamed about.

"Throughout my life I have dreamed of coaching at the University of Michigan," said Harbaugh in a statement. "Now I have the honor to live it.

"Across every discipline on campus, the University of Michigan stands for excellence. I feel privileged to take a leadership position at one of the finest universities in the world. I truly believe it is time to ask what we can do for our great university, and how I can be a great teammate. I commit to do my part to see to it the Michigan football program upholds its tradition of excellence."

Harbaugh, Michigan contract details announced

During the press conference, Michigan released the details of Harbaugh's contract. The same base-contract he had with San Francisco with heavy incentives.

The details are as follows:

- Seven-year contract with $5 million base salary with a 10-percent increase in years three and five.
- Incentive payments based on performance related to Big Ten championships, bowl appearances, coaching awards and team academic performance.
- $2 million signing bonus
- Following review by the athletic director on the progress of the football program after the 2015 season, the University of Michigan will determine an appropriate deferred compensation arrangement.

Conference incentives:

- Team plays in Big Ten Championship Game: $125,000
- Team wins Big Ten Championship Game: $250,000

Post-season Incentives:

- Team plays in bowl game selected by College Football Playoff Selection Committee: $200,000
- Team plays in four-team College Football Playoff Game: $300,000
- Team wins National Championship Game: $500,000

Coach of the Year Incentives:
- Big Ten Coach of the year (voted by coaches): $50,000
- Associated Press, Paul "Bear" Bryant, Sporting News, Walter Camp, Maxwell Football Club, or ABC/ESPN National Coach of the Year (can only achieve one per year): $75,000

Academic Incentives:
- Academic Progress Rate (APR) of 960 or higher (both multi and single year calculation): up to $150,000 per year.