Our compensation plan builder and templates empower finance and revenue leaders to effectively build and collaborate on plan design. With control over plans and accurate data, you set your teams up for success.
The best compensation plans factor in total comp costs and revenue while driving sales performance. Curious to see how much an end-of-month kicker will cost your business and the potential revenue earned from it? With QuotaPath, gain complete control to test, change, adjust, and measure the success and cost of your plans as they evolve.
Give your reps accurate insights into their earnings, bonus calculations, and breakdowns of their compensation structures so reps understand how, when, and why they are paid. Build trust and transparency between your individual contributors and leadership from the visibility QuotaPath provides.
Build a plan in draft mode to test SPIFs, quotas, accelerators, and more with your historical data. With dynamic forecasts, calculate costs and revenue based on attainment to gain security and confidence before solidifying new plan components.
Accommodate the needs of each commissionable role in your business by measuring and comping off of meetings, deals, and renewals won or any other field in your CRM.
When was the last time a spreadsheet cell delivered an #ERROR? Our unique approach makes adding, altering, or removing plan components easy without breaking formulas. Here are some of the common, complex scenarios we support:
Forecast comp plan efficacy using your previous periods’ data or our built-in annual modeling capability. Gain confidence in new quotas, SPIFs, and bonuses by previewing total costs, revenue, and how your Reps will attain quota.
Automate distribution and collect rep signatures to verify that they understand their compensation plans. Add your commission policies and agreements to keep everything in one place and create transparency and a record of truth.
Maintaining simplicity as the top issue (30%). When reps struggle to understand how they earn commissions revenue is left on the table.
Run commissions with our robust integrations. Pull in data to start forecasting and tracking compensation plan performance and cost. Custom syncs equip your team with accurate earnings and performance data whether they’re on the go or at their desk.
Salesforce commission tracking? We got it. Sync data from Salesforce in real-time to automate commissions.
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Pull in payment details from Stripe to set eligibility rules for commissions payments and manage clawbacks.
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Integrate with Quickbooks to pull in invoice and payment data and set eligibility rules for accurate commissions payments.
Learn MoreThere are three things to consider when building compensation plans. The first is that comp plans should be simple. Make sure they can be explained quickly, and that they don’t involve too many moving parts. The second is that they are logical. You want your comp plans to accomplish the goals your company has set. Lastly, comp plans should be fair. They should be attainable and pay your sales team properly for the work they do.
The three main benefits of sales compensation software include transparency, error reduction, and motivation. Because compensation information is centralized in a platform, everyone involved in the commission process gains a new level of transparency. Automated calculations reduces the risks of human error. And when reps have visibility into their compensation and can trust their payouts will be accurate, they are motivated to sell more.
The departments typically responsible for designing sales compensation plans are sales leadership, revenue operations, and finance. However, the organization responsible for designing sales compensation plans varies as organizations grow. In early organizations, it’s generally sales leadership who designs compensation plans. And in large organizations, this responsibility typically falls to revenue operations teams. No matter who is in charge, it’s important that sales compensation plans are simple, logical, and fair.
Read more about sales compensation strategy in our ebook here.
The simplest commission structure for SaaS sales is a flat commission rate, usually around 10%. But most SaaS commission structures use accelerators to incentivize over-performance.
Some organizations use consistency bonuses that pay a set bonus amount for hitting quota every month or quarter. There’s no exact template for a perfect SaaS commission structure, but here’s more reading about standard commission rates for SaaS sales to further your understanding.
Compensation design plays a big role in motivating sales reps. A good compensation plan should be easy to understand and designed to drive specific behaviors. And, it should pay reps accordingly. Consider adding accelerators and bonuses to motivate your sales representatives to sell more business or specific types of deals.
The most common ways to calculate sales compensation are either using a spreadsheet or with commission tracking software like QuotaPath. For simple compensation plans, many people choose to calculate manually using spreadsheets. This method can work for small sales teams, however, it can become too time-consuming and unfeasible. If your sales team is scaling or you have more complex comp plans, using a tool can help you calculate sales commissions automatically. Then you can add that to a rep’s base salary to calculate their total compensation. Sales compensation software automates calculations, provides transparency, and removes mistakes.
OTE salary is an acronym that stands for on-target earnings. On-target earnings is the amount of money you can expect to earn if you hit 100% of your quota. It can be calculated by adding your base salary and any expected bonuses and/or commissions. Here’s ore reading on OTE salary, plus some examples.
Use QuotaPath to build and manage your sales compensation plans.
