Tuesday, December 6, 2011

Compensation Frequently Asked Questions

Compensation Questions:
How do I get paid?
Once you have earned more than $20 in commissions or bonuses you will receive an email asking you to set up your Paylution account. This is a lot like a Paypal account. You can also have them upload your money on a debit card.  You cannot set it up in advance. You have to wait to receive an email from the company. Fast starts and commissions are paid through Paylution. 


What is BV?
BV stands for bonus volume. It is the volume assigned to a product that you are paid commission on. For example, the applicators cost $59 but they are a 54BV. The company pays you commission on the 54 not the $59. For the most part, the product cost and BV match, but some products have a slightly lower BV than cost. Your autoship must be an 80BV or more each month- not $80. 

When do I get paid?
Commissions are paid on a monthly basis. They are calculated around the 10th of every month and you are paid on the 15th
Fast start bonuses are paid on Fridays. 
What Bonuses are available?
1. Fast start bonus: Every time you sign up a new distributor and help them get 2 loyal customers within their first 30 days, you get $100 cash!  This is paid out on a weekly basis on Fridays (you don’t have to wait until your monthly check to get it).
2. “Car” Bonus: No, you don’t get a “car” but you sure could finance one with $600 a month once you get 60 loyal customers.  The company will allow you as long as it takes to make this happen!  To maintain this each month, you must also have $3,000 in BV each month.
3. Wrap Rewards: Every time you get 2 loyal customers, you can get a box of wraps (4 in a box) for just $25.  When you sell them for $25 each, you are making $75 profit off of this box.
Compensation Plan (The complex version):  
Our compensation plan is unilateral and has 6+ levels of pay you can make depending on your status in the company.  You make 10%, 10%, 5%, 5%, 5%, and 2% to infinity on loyal customers and distributors.  
Different levels get paid as follows: 
Distributor= 10% (on first level), 10% (on second level)
Executive= Same as above plus 5% (on third level)
Ruby= Same as above plus 5% (on fourth level)
Emerald= Same as above plus 5% (on fifth level)
Diamond & Above= Same as above plus 2% (on sixth level and beyond)
“Steps to Success”: Show me the Money (or the math…)
The average loyal customer pays $72/mo 
The average distributor pays $120/mo 
So…
$288 = $72 x 4 loyal customers
$120 = $120 x 1 distributor
--------
$408 = a qualified leg! 
Why the “steps to success” are so important?
1st Reason: This plan helps you get to Executive. 
2nd Reason: This plan helps your downline get to Executive, which will promote you.
3rd Reason: Executive is the baseline for all the higher levels of pay!  As you build up your team, you build up your own business!
How do I get to be a…Ruby, Emerald, Diamond, etc.?
Simple answer:  Repeat the steps to success over and over again.  OR…in other words, always have the goal of Executive on your mind!
Complex answer: Have five qualified legs, with one being an Emerald and one being a Ruby.  
*Ruby = 1 Executive, 2 qualified legs 
*Emerald = 2 Rubies, 2 qualified legs
*To maintain diamond, you must have $10,000 in BV each month.
Why have the goal of Diamond?
1. This is where you start making enough money to replace your “job.” 
2. Diamonds get 2 raises!
- An extra 2% override on entire volume
- Customer Acquisition Bonus (CAB): $80 bonus for everyone who does the steps to success no matter where they are at in your downline!  This is triggered by fast starts.  Once a new distributor gets 2 loyals in 30 days, you not only get $100 fast start (if you were the one who enrolled them) but you’ll also get $80 CAB on top of that!
* CAB bonuses get higher as you move up from diamond (diamond gets $80, triple diamond gets $135, ambassador gets $155)

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