There is one simple reason top sales performers end up making crazy money. You ready for this?
It’s because they clearly understand their compensation plan, how it works, and how to take advantage of it. They are professors when it comes to it. They flat out know it inside and out.
When’s the last time you read your compensation plan?
Most people get the high level explanation from their manager when they sign on to their job but then just rely on other people teaching them from there. The assumption is that they are being told the most important things they need to know…
Your compensation plan is your map to your potential yearly earnings. If you don’t how to get to each area of it, how can you know if you are getting closer to your destination?
It wouldn’t normally matter. You could take the approach that you will get there eventually except there is a time limit attached to your income. Monthly, quarterly, yearly targets. That means you must clearly reach a certain destination by a certain point.
Are you on track?
I have 3 tips today that you can start doing to ensure you move towards the path of never missing out on that extra cash, bonus, contest, and Presidents Club trip at your organization.
That means sit down with it and read line by line and read for understanding. When your brain gets tired from all the fine print, go get some coffee, take a break and come back to it. You must finish this book. Don’t put it down for too long.
You objective is to become a master of your compensation plan.
A master of the targets. (By different products or services)
A master of the exceptions.
A master of the bonuses, or as the Top Reps consider them, “free money.”
If you don’t understand something. Find out. Ask your manager. If they don’t know, ask theirs. Keep going until you get a clear description of expectations on what is needed to hit all the targets.
One you’ve finished that, it’s time to set your own goals as your company might not expect you to over achieve.
That means goals for hitting your various numbers, and bonuses, for each month, quarter, and for the full year.
That also includes hitting the extra special incentives like your company’s Presidents Club or special trips. You should plan on hitting everything!
Does that mean if you need to hit $100,000, your goal should be $100,000? Absolutely not! Plan to overachieve and in that worst case scenario, you will at least hit your expectation of $100,000.
Do these goals for each product or service you make. It’s very simple…
DON’T LEAVE ANY MONEY ON THE TABLE.
Now comes the mistake the rookies make on their way to success. They don’t track their own data.
Don’t rely on your organization to track these. Think about it. Who comes up with the contests and commissions? Sales people do!
Who pays out those commissions? Accounting does!
That’s obviously for the survival of your organization. Sales people will spend everything…
For this reason you need to be responsible for your own numbers.
Have you been getting the correct amount of commissions in your pay check?
You wouldn’t know if you didn’t track the amount you made, based upon your compensation plan, and matched it to your paycheck stub. When’s the last time you’ve inspected this?
I always hear from rookie sales reps, “I didn’t get paid out as much as I should have…”
Top Reps might say that but they know they should’ve been paid and they are proactive with their sales management and accounting to fix it.
Lastly, they post their numbers every month. The remaining numbers they need to hit to overachieve their plan. They know what’s remaining.
Because there is no way they will miss that number. Not even by 1 cent.
Here’s some quick action steps for you today.
Make sure you clearly understand it so much that even your boss would turn to you for clarification.
Once you follow these 3 steps, you will find it much easier to max out your comp plan.
Learn more tips on how to max out your comp plan, bonus and all inside of our Modern Sales Academy.