Commission vs. Bonuses?
Commission vs. Bonuses?
anonymous·Jan 06, 2020·6 replies
Hi sales crew! How would you define the difference btw commission and bonuses? Here's the context around my question:I'm currently a sales team of 1 at a 4 person startup. When I was hired, I was told that my base would be $60k and my OTE would be $80k. The major challenge is that the product was much less developed than I thought, so I spent much of my first months on the job developing the product structure and sales collateral and testing for what target market might be our product-market fit. (All I was told was to "go after big companies.") My specific questions are these: 1. In my contract, my commission is written as a "bonus" to be paid only at the end of the year. I only earn it if I'm still with the employer at the end of the year. Is this customary at all? My last sales job paid commission monthly. (It feels wrong to withhold that big a chunk of my salary for the entire year, especially when I said my minimum was $70k when I was hired.) 2. I'd like to advocate for my commission to be an actual commission and to be paid out quarterly. Do any of you have any resources that might support my argument here? 3. There was no KPI or comp plan in place (and because there was no real product, it was almost impossible to create adequate KPIs). I've started to put one together (with little to no help or input from my founder). I was curious if anyone here was familiar with startup sales comp plans and might be willing to take a look at mine to make sure I'm not totally selling myself short? 4. Finally, because there was no comp plan in place for the past two quarters (I've been with the company for 6 months), I'd like to advocate to be paid my entire commission. Any tips or advice with regard to that? A final vent: I'm frustrated because I was told that the "bonus" would be paid at the end of the year, and noticing I hadn't received it today, was told by my founder that "he hasn't gotten around to it yet and would probably pay it out in the next few weeks." Is this normal? Thanks Elphas!
Join our community to connect with women
read these next
How do we feel about having people at work follow you on social? Is that a 👍🏾 or 👎🏾?
Forget the “track”: From Engineer to MBA to Freelance Writer to Founder
Office Hours: I am a product manager at Quibi and former director of product at Disney and ESPN. I'm Katie Tomezsko.
Body image decline with video calls?
From onsite employee to remote employee: lessons learned?
read these next
How do we feel about having people at work follow you on social? Is that a 👍🏾 or 👎🏾?
Forget the “track”: From Engineer to MBA to Freelance Writer to Founder
Office Hours: I am a product manager at Quibi and former director of product at Disney and ESPN. I'm Katie Tomezsko.
Body image decline with video calls?
From onsite employee to remote employee: lessons learned?