by Chad Bronstein, CEO

Are y'all ready to hire sales reps but aren't certain about the ideal sales compensation program? Have you lot searched the internet looking for an answer? Have you contacted competitors to meet if they'll help you out? If and so, you've probably realized there is little help available for this monumentally of import decision.

Ideal Sales Compensation Plan Calculation in Office

Here at Time To Rent, we become at least three or iv new potential customers per calendar week who ask us this question: "So… is 20% virtually what people are paying in sales rep commissions?"

We've been mostly unable to answer until at present.

Since 2003, we've been compiling sales compensation plans and salary info on a multifariousness of industries. In that time, Fourth dimension to Rent has completed over xxx,000 campaigns—that'southward a lot of data! We compile data by request our clients for a general idea of what an boilerplate rep and a superstar rep could make as a salesperson for their organization. A very modest percent of those clients will requite us more than data than nosotros actually need such as their exact sales rep committee percentages or base pay amounts. While only virtually three percent of our clients provide that much detail, it'due south enough to compile helpful sales compensation plan examples for the do good of other businesses.

While creating the program is private to your unique business, we know that examples of what works for others are a great place to start the brainstorming.

So here they are: a listing of commission structures for sales reps in every manufacture.

To notice a sales commission construction for the specific industry you lot're looking for in this blog, simply press:

Control-F (Command F ON ) and type in the data in the search window (eg., "MERCHANT" "SOLAR" "Roofing" or "IMPROVEMENT").

Note: Each new line below denotes a unlike sales rep commission model.

Good luck on your search for sales superstars!

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SALES COMPENSATION Plan EXAMPLES: MERCHANT SERVICES (Outside SALES)

Lease commissions ranging from $125-$450.

Up to $200 up front bonus for each account plus upwards to 75% residual.

For each activation, agents are paid a erstwhile $200 bonus plus a monthly residual of 30%.

Starting commission rate of 40% with an opportunity for 60% with enough accounts. Rate increases to 45% later on first 5 accounts. Subsequently 200 accounts, wait $100k in yearly earnings.

Sell six-8 locations per month and make $100,000 plus residuals. Ii sales per week averages $1500-2000 plus fifty% residuals.

l% signing bonus plus 15-25% lifetime residuals. Vesting reps can sell residuals for 30x value.

Each closed business relationship nets 4300 up front bonus and 20% commission for lifetime of account.

Lifetime residuals. 25-twoscore% residuals for lifecycle of customer. 30x buyout options twice yearly. 401k afterward xc days. Medical, dental, vision subsequently 90 days. Life and Advertizement&D insurance. Includes iPad.

Starting base of operations bacon of $32,000 plus three% commission on full sale.

twenty% commissions on gross revenue for a flow of two years, even if non employed with a cap of $twenty,000 per client. Register 50+ businesses and committee rate grows to 25%

SALES COMPENSATION Programme EXAMPLES: CABLE INTERNET DOOR TO DOOR

100% committee (duh), and $130-$140 per contract

We pay $180 per contract and boilerplate reps sell nigh 25 per month.

We have 2 options. $chiliad/base plus xv% residuals. Or 100% commission, fifty% start month up front and 15% residuals.

Boilerplate auction pays $162 for AT&T and up to $250 for DirecTV.

100% commission and 4 tiers. Upwardly to 22 sales/mo $137; up to 32 sales, $148; up to 42 sales $160 and upwards to 52 sales, $171 per contract. $500 sign on bonus subsequently fifteen sales start 30 days. Health benefits after 90 days.

SALES COMPENSATION Programme EXAMPLES: Roofing AND STORM RESTORATION

10% of the total sale seems to be the standard in the roofing restoration business organization.

10% of total contract. Incentives and bonuses after $250,000 in sales.

Nosotros pay based on sales invoice minus costs for office and materials. Sales rep receives l% of profit afterward costs. If invoice is $20k and cloth and office toll is $14k, remaining profit is $6,000 and rep makes $3,000.

Boilerplate commission is $800-$2000 per chore and paid 50% upon plough-in. 4 week paid training. Paid housing at tempest location forth with 75% paid medical and dental.

Paid Housing, $10k per year on average. 7 weeks of paid preparation at $375/week. Gas allowance, $75/week. Paid jail cell hot spot, $140/month. Health insurance and we pay l% of your HSA deductible. Profit sharing. 401k. Vacations.

10% of gross sale. 401k and medical insurance.

10/50/l Split. 10% off the pinnacle and 50% of the profit goes to the roofing sales rep.

seven.5% of the total price of roof.

12-15% of the overall claim.

six% commission until proven, then ten%.

4% of initial contract signed.

twoscore% net income paid on all completed claims.

Commissions range from iii-10% depending on feel.

x% commission on get-go $800k in sales. 11% until 1m and 12% over 1m in sales.

7-ten% of total job depending on experience for in-home sales reps. Canvassing reps make $20 per inspection.

SALES COMPENSATION PLAN EXAMPLES: HOME Improvement (Windows, Doors, Bath, Kitchens)

Our average sale is $fourteen,000 and with 10% commission reps are making between $100-200K. 100% commission.

$400 a calendar week for 4 weeks training. Then 100% Committee – vii% commission on provided leads. nine% commission on leads self generated. Health Insurance and Simple IRA. (Basement Solutions)

25,000 Base Salary + Commissions ranging from 6% – 12% based on a Par selling scale. Benefits later 90 days. (Shower Door Installations)

50% commission for veteran reps / 35% commission for non experience reps with $300 weekly training pay. (Windows, Siding, Gutters)

Base bacon of $35,000-54,000 per twelvemonth plus ii% commission after break-even is met. (Bath Remodeling)

Base salary of $300/calendar week plus commission at 5% of all good sales generated. (Windows, Roofing, Siding, Doors)

8% commission of total of contract sold. Reckoner must pay for his/her own gas, and provide their own transportation. (Patios)

Two options. $400 per week base of operations pay plus 7% commission, or 100% committee and ten% commission on job full.

$450 per week for upwardly to 60 days, and then x-12% of the total sale. Average sale is $7,000. (Iron Fencing)

10% for in-house leads, 12% for rep generated leads. fifty% paid of profit for all up-sells.

10% of gross sales.

True base bacon of $800/week plus 10% commission on job total.

Big window company: $10-$fourteen/60 minutes plus iii% committee on total job.

SALES COMPENSATION Plan EXAMPLES: SOLAR SALES (IN-HOME + DOOR TO DOOR)

$40,000 base plus 3% commssion ($3-$4 watt), 4% (4-$4.60) and 5% in a higher place $4.lx watt. Team commission is besides paid at .05% on sales above $4 watt.

$1000 draw against commission for first 90 days and 100% commission thereafter. $600 gas bonus per calendar month if one+ bargain sold.

$100 per lead plus 1% entire gross of sold project (this is for canvassers only, not the in-home sales rep)

Solar canvassing sales manager earns $50,000 base plus $250/auction override on managed rep. Solar sales rep earns $k per sale (expected to shut 2 sales per week).

True base salary of $30,000 plus 3% commission on gross system cost. 3% of system costs will be paid 25% on Friday after signed and rest (75%) later install is complete. Promotion targets include opportunity to earn 4-5% committee rates as well equally college salaries. $20K per month in bounty is possible for the highly motivated rep.

Nosotros pay $12-15 per hour and $25-$l per appointment depending on weekly productivity.

We pay $50 for setting an appointment with bonuses for higher number of appointments, plus $200 for each appointment that becomes a sale.

$300 commission per KW sold on cocky generated deals. Average deal is 5kw or $ane,500. 70% of commission paid the following Friday and so remaining thirty% when deal is airtight.

$500 per Kw minimum committee.

SALES COMPENSATION Programme EXAMPLES: PEST Command DOOR TO DOOR

25% commission on all sales.

20% commission until 100 sales closed, then goes upward to 25%.

20% commission until reps have proven themselves, then 25%.

Ane company mentioned paid training at $ix/hour for 2 weeks and a $100/month gas reimbursement.

SALES Compensation Programme EXAMPLES: ALARM AND SECURITY DOOR TO DOOR

Start with training salary of $2000/mo for month 1, $1500 for month ii, $1000 for month 3 and $500 for month four. Rep also receives $500/mo machine assart. Commissions range from 10-xviii%.

We pay $500 minimum committee per sale.

5x monthly contracted revenue paid out in 2 installments at signing and at 6 month anniversary. Once successful, converts to 3 month draw against commission of $2,000/month.

We pay 10% commission on profit of each sale.

Commission plus $2,000 guarantee confronting commissions per month. iPad, iPhone and total benefits after 90 days plus bonuses.

Sell 1 new business relationship per day and brand $100,000.

Earn $200-$500 per auction

Experienced reps are guaranteed $650 per sale.

Ideal Compensation Plan Illustration

SALES Compensation PLAN EXAMPLES: ENERGY DEREGULATION DOOR TO DOOR

100% committee later the commencement 8 weeks. Starting time 8 weeks non-recoverable describe of $550/week guaranteed.

7% straight committee.

Average sale is $16,000 with a range of $8,000-$110,000. Commission averages $480 per sale and ranges betwixt $240-$3,300.

25% on personal product, no overrides. At 250,000 kwh = $1,125 per calendar week or $2,250 at 500,000 kwh.

40% committee plus bonuses.

SALES COMPENSATION PLAN EXAMPLES: FUNERAL / MORTUARY SERVICES (OUTSIDE SALES)

ii week paid grooming, and so 100% commission. W2 with benefits. (Medical, Dental & Vision afterwards 90 days). 401k retirement 6% matching. Typical first year pay is $45-65,000.

120 hours of paid training @ $15/hr, then 100% committee at 20%.

SALES Bounty Program EXAMPLES: INSURANCE SALES (OUTSIDE SALES)

12-month advance 17% commission + vested renewals. Motivated reps tin make $150k/twelvemonth.

New concern commissions paid at 50%. Renewal business 25%. $1500-$2000 draw confronting commissions monthly and a ninety day base is provided while edifice your pipeline.

Nosotros provide a base of $30-$forty,000 with medical and dental. Commissions range betwixt 2-ten% per sale based on type of product.

40% new business organization commission and 25% on renewal income. v% new renewal commission income of agency team and up to 49% ownership of book of business.

Base of $24,000-$xl,o00 based on experience, and when a 15% commission exceeds the base, the commission is paid. Similar to a draw, but base is never rescinded.

All commissions are residual and most splits are a 50/l basis internet of expenses.

Base bacon of $2000 kickoff month, $1500 second and $1000 month 3. Commission are 5% P&C, 22% Fifty&H and 50% annuities (damn, I am never buying an annuity!)

x% commission and 3-four yr rep tin can make 100K with residuals.

SALES COMPENSATION PLAN EXAMPLES: MARKETING (Diverse TRADITIONAL/NEW MEDIA/SEO)

20% commission on first payment from client (boilerplate $960), then 10% of second payment ($480)

Initial commission of 50% then 30% recurring monthly on SEO, PPC and social media management deals.

2 options. W2 with base salary of $2,500/month plus 15% commission.  Or 30% straight commission. (Automotive Marketing)

Facebook advertising $250 for each new customer and $75/calendar month residual. If you lot sell all services you make $450 one time plus $110-175 monthly residual. (and fifty% of our clients purchase all our services)

25% committee on all signed contracts, 5% of entire contract up front and xx% in monthly increments over the life of the contract. A 10% monthly balance commission is paid up to 5 years when customer renews contract.

v% committee on sales upwardly to 30K, 10% on 60K monthly and up to 15% for sales exceeding $60K monthly.

30% of net sales including setup fees and monthly payments. $500 minimum sale.

33% of net sales

25% recurring on all marketing services

xx% of contract

25% commission with greenbacks bonuses for milestones

twenty% committee plus ramped bonus arrangement with $3,000/month potential. 5% residual commission after 12 months up to 24 months.

50% first month of contract and 5% residual in perpetuity.

50% initial committee plus 10% abaft lifetime residual.

ninety day commission-only probationary catamenia with fifteen% of total contract and viii% on contracts acquired from existing clients. After ninety days base salary ($14,000-$20,000) plus same committee structure as commission only. (15% and viii%)

x-12% on gross sale (SEO Company)

x% monthly recurring commissions with $fifty bonus for each new campaign (SEO Company)

xx% gross commission (Local SEO Marketing Visitor)

15% monthly (SEO Visitor)

forty% residue (rolling commission) (Local SEO)

20% of sales and 5% override of anyone you recruit

$grand sign upwardly bonus for each new client signed plus fifteen% commission (recurring) while client is retained.

xl% front end stop and ten% every month for life of client (Lead generation service)

25% on internet sales (Public Relations company)

25% committee each calendar month client remains (Digital marketing company)

20% monthly for yr 1 and 10% for yr 2 residuals. (Digital Marketing)

10% up to 5k in sales, fifteen% $v-$15k, 20% over $15,000 (Social media sales)

30K base plus 15% commission (Web development)

SALES Bounty Programme EXAMPLES: Advertisement SALES (Exterior SALES)

Notation: Boilerplate commission for this position is 20%. Some clients offering a base bacon with ability to grow to 25% commission.

twenty% committee for each new advertiser plus 10% of advertiser'due south spend for yr ane. After year 1 you earn 1% for life on advertising spend.

$10/hr for commencement 6 weeks, then 8.25/hour. Commission charge per unit is 23-25%. (Radio Advertising)

Base of operations salary of $2,750/calendar month with 4-8% commissions on gross. Commissions depend on price per spot. (Full Service Advertising Brokerage)

$25,000 base salary plus 15% uncapped commission rate

25% straight commission plus bonuses

Agents receive an exclusive territory and 25% commission on gross revenue.

thirty% commission. (Mag Advertising)

15% commission on all advertisements sold

20% commission for W2 employee (includes telephone, gas and leads) or 30% for 1099 and you generate your own leads.

xx% starting commission with ability to motility to 25% and a base salary.

20% commission to start and and then 25% after 30 days.

$200-$325 weekly base pay plus 20% commission

25-30% directly commission on ad sales

xx% straight committee (Magazine Advert)

xx% commission (Luxury Real Manor Mag)

20% commission plus $10k/year to cover auto expenses, plus bonuses and healthcare afterward 90 days (Local Circular Newspaper)

20-33% commission range (Magazine Advertising)

We will consider a draw for the right person. Reps get 35% of the garment cover which is $two,100.

25% commission plus residuals

20% for each new advertiser and 10% of the ad spend for that client for i year.

20% straight commission

$30,000 base plus x% committee. (Local Business Coupons Mailed to Residences)

$450/calendar week base plus 8.v% committee (Coupon Advertising)

30-$45,000 base of operations plus xv% committee (Magazine Advertising)

Base of operations bacon of $two,000-$3,000/month plus twenty% commissions with no cap. (Digital Advertizement)

$300/week plus eighteen.5% commission on all sales. After $v,000 in acquirement is reached, commission jumps to 20%. Weekly motorcar allowance of $125. Cell telephone allowance (Neighborhood Magazine)

$15-$20/60 minutes plus 20% commission (Magazine Advertising)

20% commission OR $ix/hour and 10% commission (Digital Ad)

$125 base plus 50% commission rate on all sales over $125 (Neighborhood Coupons)

$25,000 base salary plus 30% commission. 50% health insurance coverage subsequently 90 days. (Grocery Shop Advertising)

30% on gross receipts (Magazine Advertising)

20% straight commission (Radio Advertising)

SALES Bounty Program EXAMPLES: Technology SALES (SAAS, MANAGED SERVICES, SOFTWARE)

20% commission on total sales. (Mobile App Development)

$ten,000 base plus viii% committee on recurring contract of 12 months or more than. If total recurring contract sales are greater than $500K during the starting time 12 months, rep will receive 5% commission for an additional 12 months. A $25k bonus is available for sales over $750k.  (Managed Services)

xx% commission at signing plus 4% residuals. (Managed Services)

$325/week base plus 12% gross sales. (Communications Equipment Sales)

20% on all sales and 5% override of recruits (360 Degree Video Production)

20% commission on gross for personal sales or 15% on visitor generated leads. (SAAS Sales)

Base of operations of $1500/month until $4,000/month in commissions, then becomes 100% commission. 50% commission for start month contract and then xv% for next half-dozen months. (Managed Services)

25% commission on first year of contract. (Mobile App Solutions)

20% commission, no cap (Managed Services)

25% commission on gross sales (Staffing Software)

50% commission for commencement 12 months then decreases to 15% every bit long every bit salesperson continues to service account. (Automotive Software)

20% commission on 10K monthly sales or less, 25% higher up 10K. $1000 monthly base salary. (Investment Trading Software Platform)

xx% commission on life of business relationship (Logistics Software)

$24,000 base plus thirty% committee (Employee Tracking Software)

five% base commission (Market Data and Assay Tools)

15% commission on all sales (Spider web Development B2B)

30% commission plus residuals on all sales. (Web Evolution B2B)

40% straight commission. (Video Sharing Awarding)

SALES Bounty PLAN EXAMPLES: LOGISTICS SALES (Exterior SALES REPS)

$500 per week and 35% commission rate

$l,000 per year and 1.5% commission on all nerveless sales

15% commission with $ii,000 monthly draw. 401k, medical, dental, vision, life insurance, long term disability.

twenty% straight committee

30% committee on NET turn a profit

10% turn a profit for every shipment of about 20% markup at an average of $150/shipment.

SALES COMPENSATION PLAN EXAMPLES: KIOSK/DEMONSTRATORS

15% commission plus daily bonuses and base pay of $9-$10 D.O.East.

100% commission, typical rep makes $600-800/week

$120/day or 15% committee on all sales, whichever is greater. Typical pay is $500 over a weekend.

Base pay $12-$15/hour

SALES Bounty Plan EXAMPLES: MANUFACTURING SALES (Exterior SALES)

Commissions are typically 30% of net margin per project.

$37,500 base plus v% commission

$four,500 monthly base plus 25% commission on annual contract value. Commission payout does not begin until $3,750/month has been reached.

vi% commission off invoice up to $100k per month. Over 100K, goes up to viii% of invoice.

Base of operations bacon of $35,000 plus 5% committee (Tool maker)

v% of unabridged invoice (Makes Medical Pumps & Bearings)

10% straight commission of invoice.   (Manufacturer of Gears, Bushings and Structural Components)

ten% commission per organization (systems are $5000-8000) (Manufactured Fitness Equipment)

v% commission on invoice (Supply Concatenation Consulting and Manufacturing)

SALES Compensation PLAN EXAMPLES: MEDICAL DEVICE SALES (OUTSIDE SALES)

Minimum wage plus 10% gross committee

$2500 per signed contract

fifteen% commission on a $xv,000 medical device

$500 per contract and ten% in perpetuity

Royalties paid for 24 months subject to renewal. Full benefits and stock options based on functioning. Compensation is based on royalties up to 2 years subject field to renewal to another ii years.

SALES Compensation Programme EXAMPLES: Existent Manor SALES (OUTSIDE SALES)

$fourteen-$xvi DOE plus 0.7% commission on full lease value (Commercial Real Estate)

$15 per consultation and ten% on all sales (Commercial Existent Manor)

SALES COMPENSATION Plan EXAMPLES: Motorcar/CAR/BOAT SALES (OUTSIDE SALES)

25% of front end-end gross. $250 minimum committee. Volume bonus, backend compensation, factory bonus

$350 week plus xx% of gross profit for experienced automobile sales reps. $250/calendar week and 13% gross profit for inexperienced

$1,600/calendar month draw on 15th and 30th of each calendar month. 25% commissions on gross on new and used vehicles including holdback less $375 pack plus whatsoever costs added to vehicles on sales ane through 9. On sale 10-14 commissions will exist 30% retroactive to your first auction. On sales fifteen and to a higher place, this volition exist 35%. CAC deal pays $200 with no F&I. Commissions on finance bargain over $500 reserve $25, $25 for warranty and $fifteen for gap, maintenance program or charter protect. Entire car protect $75. Salesman of the month $250. $100K bonus for selling 800+ vehicles in 4 years.

SALES COMPENSATION Plan EXAMPLES: FINANCIAL/INVESTING/WEALTH (Exterior SALES)

They payout is 80% of first month's billing plus an ongoing residue (eg., close five clients at $1,750/month level equals $7,000/month in commissions)

Our average rep closes 10 deals per month. Average funded corporeality is $thirty,000 and commissions are 2.5-v%. (Capital Funding Company)

Later the company 7-ten% is deducted from the loan amount, you brand 25% of the profit. Once you lot reach $250k in loans, yous go up to 30% commission. (Capital letter Funding)

True base of $30,000-$twoscore,000 per year plus 2% commissions on gross (Pre Settlement Funding Company)


When y'all're prepare to hire sales reps with us, give us a call at 888-447-3001. One time you lot sign up, we'll send you training videos to help you know what to say to candidates to go them interested in your commission-only position.