Question re commission structure

[MJG]

Hi there,

Just wanting to know how other commission structures work.

Do you get target based commission on invoice or collections and if it is collections are you expected to chase the money and bring it in yourself for the month?

For example I have a target, I invoice the amount of the target and more every month, yet only get paid on collections. Some months the collections do not reach the target as customers may pay a day or two late and I get penalised for it and paid less the following month. Also I am expected to bring the money in ie act as a "debt collector". I am employed as a sales rep.

Is this common practice ?

 

[Pitbull]

Hi there,

Just wanting to know how other commission structures work.

Do you get target based commission on invoice or collections and if it is collections are you expected to chase the money and bring it in yourself for the month?

For example I have a target, I invoice the amount of the target and more every month, yet only get paid on collections. Some months the collections do not reach the target as customers may pay a day or two late and I get penalised for it and paid less the following month. Also I am expected to bring the money in ie act as a "debt collector". I am employed as a sales rep.

Is this common practice ?

Makes no sense to me.

You should be rewarded for "invoices"/sales. Collection is up to the company. if money is not paid, you need to be penalized in the way of cancelations deducted from your next commission as an example. You're a sales person not employed to do finance and debt collecting. That model just doesn't make sense to me.

 

[maumau]

It should be up to the accounts department to collect money.