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Compensation Plan

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Compensation Plan

Category: Term paper

Subcategory: Construction

Level: College

Pages: 4

Words: 1100

Compensation Plan
Student’s Name
Institutional Affiliation
Specific Objectives
For AirProducts Company, the sales plan shall focus on the outcome-based measures, and in particular, the sales results on the number targeted quarterly.
Quota
The Sales Representative is assigned the following Quarterly Quota.

Performance Category Quarter 1 Quarter 2 Quarter 3 Quarter 4
Product Sales Target 300,000 300,000 300,000 700,000
Transaction and Credits
For the company’s transactions that involve the Sales Representative, a commission is arrived at on the amount of sales ordered. Fifty percent of the calculated commissions are given out in the immediately after the subsequent commission pay period. The other fifty percent of commission is detained until the amounts for the order have been fully received.
The product revenue commissions are then calculated through multiplication of the sales amount by a commission rate, and the rate is based on level that one attains compared to Quarterly targets for Sales representative, and the following table summarizes commission rates.
Attainment % minimum Attainment % maximum Commission Rate
0% 100% 4
100% 124% 5
125% 149% 7
150% Over 9

General Levels of Compensation
Pay Structure
Salary Range    Lowest Salary    Target Salary    Highest Salary
A                           $19,000             $22,500         $24,750
B                      …

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