Purpose Drawing on social information processing theory, the purpose of this paper is to explore the relationship between team reward interdependence and team performance, treating shared leadership as mediator and team average job-based psychological ownership as moderator. Design/methodology/approach Data were collected from a field sample of 72 knowledge-based work teams comprised of 466 team members and their team leaders. Data were analysed using hierarchical regression analysis and moderated path analysis. Findings Team reward interdependence was positively related to team performance through shared leadership. Team average job-based psychological ownership moderated both the relationship between team reward interdependence and shared leadership, and the indirect relationship between team reward interdependence and team performance. Research limitations/implications The shared leadership literature is extended by exploring the antecedents of shared leadership from the perspective of team reward interdependence, and by examining the moderating role of team average job-based psychological ownership. Practical implications Organizations and managers should pay attention to team pay system design and be aware of the importance of employees' psychological ownership towards their jobs in promoting shared leadership in teams. Originality/value This study sheds light on the antecedents of shared leadership from the perspective of team incentives and examines antecedent boundary conditions through the moderating role of job-based psychological ownership.