Emily Clarke

Pros and Cons of Working for Commission

Depending on the sales person, working for commission can either be a blessing or a curse. For some people, it ends up being both. There are certainly a long list of pros and cons on either side of this payment structure, but there's a reason that it continues to be used by sales teams again and again. It's a powerful motivator, above all else. Here are some of the biggest pros and cons of working for commission:

Pros:

No Limit to What You Can Earn

As long as the company doesn't have a salary cap, a sales associate's earning potential is technically limitless. The more you sell, the more you earn. If you're selling a ton of products or services, you can make a lot of money in the sales arena.

Work When You Want

Being a salesperson who works for commission can be extremely freeing. You can make your own schedule and work independently. Good companies typically don't pressure their sales people if they're hitting their numbers. As long as you're within that comfortable range, you can really enjoy working on your own terms.

Cons:

Inconsistent Income

The limitless potential of income also has a flipside. If you're not selling, you're not earning. If your pay structure lacks a base salary, it can be hard to pin down what your income is on any given month. For people who like to plan their finances out and budget, this can be a bit of a conundrum.

High Stress

The inconsistent income, highly competitive environment, and need for self-motivation can also be incredibly stressful. However, some people thrive under this kind of pressure. It definitely takes the right attitude and personality to be an effective salesperson, but if you can deal with the downsides, the upsides are very high.

Get Straightforward Sales Goals and ADP integration for commission tracking

If you're a salesperson or sales manager, you know how important it is to keep track of your goals and your commissions. With commission tracking software, you can make the job of a sales rep much easier, while also providing them with tangible goals and motivation. With a quality commission software you can also implement ADP integration for commission tracking in your system. Make sure to choose the right commission platform for your team so your sales reps can enjoy their job as much as possible.

Author Resource:-

Emily Clarke writes about business software and services like commission tracking platforms, softwares etc. You can find her thoughts at commission tracking blog.