binki
New Member
Work or get fired seems to work for us.
In reality though, I would offer a 10% spiff on the profit $ above a shop minimum. So if we said we wanted a 60% Gross margin on all orders and we had a $1000 order that would be a $600 Gross. So if the employee sold it at $1100 then he would get 10% of the $100 extra. But, and this is a big but... we would also deduct sales below the shop margin so if he sold something at 50% when we want 60% then we would take 10% of that markdown off the bonus.
He would soon learn where the breaking point was on leaving money on the table and getting a job as well as having our interests in mind.
As far as paying it, quarterly would be a good start and he would have to be still employed at the end of the quarter to get it.
I would also add a 5% bonus on some amount of volume for a quarter or year. So if he sold more than a certain amount of gross then bump that bonus by another 5% on overage or 50% of his paid bonus for the year.
In reality though, I would offer a 10% spiff on the profit $ above a shop minimum. So if we said we wanted a 60% Gross margin on all orders and we had a $1000 order that would be a $600 Gross. So if the employee sold it at $1100 then he would get 10% of the $100 extra. But, and this is a big but... we would also deduct sales below the shop margin so if he sold something at 50% when we want 60% then we would take 10% of that markdown off the bonus.
He would soon learn where the breaking point was on leaving money on the table and getting a job as well as having our interests in mind.
As far as paying it, quarterly would be a good start and he would have to be still employed at the end of the quarter to get it.
I would also add a 5% bonus on some amount of volume for a quarter or year. So if he sold more than a certain amount of gross then bump that bonus by another 5% on overage or 50% of his paid bonus for the year.
