What is this type of Commission called? Draw/rate something??

melikemochi · Mar 19th, 2007, 10:10 PM

I was on a comission rate where I made say, $15 no matter what. After I sold enough so $15 equalled to 10% of my sales (so I had to sell more than $150 per hour), I started to make 10% commission on sales AFTER that. So basicaly if I worked 1 hour and sold $200, I would make the base of $15 plus 10% commission on $50 (which is $5 ...$200- $150= $50, 10% of $50 = $5) so I would make a total of $20 an hour.

Does anyone know what this is called? I know its something draw/rate or something like that. Any help would be appreciated. The company I work for didn't pay me and as much as I dont want to, I now need to wtite a letter to them detailing that. And I would like to use the correct terminology. Thanks!

lil purseaddict · Mar 19th, 2007, 11:38 PM

i believe its called base+commission. when you sell enough to make your base pay of $15 in this case $150 is its called a draw, basically you break even. In the off chance you dont sell enough to make $15 lets say you only average $135 you still make $15. Some companies require you to pay back the money that they give you in order to make up the difference. Hope this helps, sorry it was so long.

melikemochi · Mar 19th, 2007, 11:58 PM

Quote:

Originally Posted by lil purseaddict

i believe its called base+commission. when you sell enough to make your base pay of $15 in this case $150 is its called a draw, basically you break even. In the off chance you dont sell enough to make $15 lets say you only average $135 you still make $15. Some companies require you to pay back the money that they give you in order to make up the difference. Hope this helps, sorry it was so long.

That was very helpful! Thank you. No problem with it being long. The longer the better.

Mar 19th, 2007, 10:10 PM	#1
melikemochi Member Location: California	What is this type of Commission called? Draw/rate something?? I was on a comission rate where I made say, $15 no matter what. After I sold enough so $15 equalled to 10% of my sales (so I had to sell more than $150 per hour), I started to make 10% commission on sales AFTER that. So basicaly if I worked 1 hour and sold $200, I would make the base of $15 plus 10% commission on $50 (which is $5 ...$200- $150= $50, 10% of $50 = $5) so I would make a total of $20 an hour. Does anyone know what this is called? I know its something draw/rate or something like that. Any help would be appreciated. The company I work for didn't pay me and as much as I dont want to, I now need to wtite a letter to them detailing that. And I would like to use the correct terminology. Thanks!

Mar 19th, 2007, 11:38 PM	#2
lil purseaddict Member	Re: What is this type of Commission called? Draw/rate something?? i believe its called base+commission. when you sell enough to make your base pay of $15 in this case $150 is its called a draw, basically you break even. In the off chance you dont sell enough to make $15 lets say you only average $135 you still make $15. Some companies require you to pay back the money that they give you in order to make up the difference. Hope this helps, sorry it was so long.