“Many people get all caught up in compensation plans. Many people THINK they prefer one type over another and even try and sell others that one type is better than another. If you really study compensation plans, what you will find is they all have advantages and disadvantages. The one thing you do need to know about YOUR compensation plan is either KNOW how to organize your business to maximize it.”
I shared that statement with you because I think it is all smoke and mirrors. You will never understand your comp plan even if you have a master’s degree in accounting. The reason I say that is the companies you are with know that if you ever really were able to figure out your comp plan you would not be doing the business.
And once they think that the masses have began to figure it out, guess what. They change it and dangle some carrots in your face, giving you the pie in the sky. Folks that is real, I have been there.
I have have been in companies that have paid as little as 20% on the dollar to as much as 67% on the dollar. Think about it, it’s real easy to figure out your comp plan, just ask yourself if you recruit someone into your business for $100.00 how much of that are you getting paid. Simple math. Yes they have Fast Start this, Bonus that, so on and so on. You still get a % and not the whole enchilada.
Don’t get me wrong people I am not bad mouthing any company. I have made some good money off those percents in the past. However if I am going to do the work then I want all the pay. Yea, they tell you they have to pay for the websites, Admin fees, selling material, back office help, etc. How much does that really cost? Try they have to maintain the lifestyle they are use to. Again not to talk badly about these CEO’s, Presidents etc, I am just not going to pay for their lifestyles.
Here’s a simple example. Friends have approached me all excited wanting to tell me about their business and how great the pay plan was, and how they were getting paid 50%. Well we analyzed it and came up with this.
You bring 10 people in during a month at $100.00 per person, well that’s $1000.00, and you get 50%, great you just made $500.00 that month and Johnny, Mary and Sue split the other $500.00. Well let’s say Johnny, Mary and Sue had 10 other people doing the same thing well Johnnie, Mary and Sue just split $5,000.00 ($1666.00ea). No wonder only 3% make the real money. Everyone else made $500.00 each and who did all the work.
If that’s not enough to get you to thinking about your comp plan, guess what you still have to work all month to get paid, Hum.
Again don’t get me wrong, I was right where you are, however after reading the book The Painful Truth my eyes were open, and now I receive 100% of what I earn and I get it daily. If you would like to get your copy of The Painful Truth, you can download it free after you watch a brief video on how to get paid 100% of what you earn, how to get paid daily, and how to make PayPal your best friend.
Just go to Getting Paid Daily, and don’t hate regardless of how much you may not like the statements you know it is true and I can prove it to you. |