This section provides an overview and calculation examples for types that are distributed in the package.

Condition Types

List of available types with their default setup. Below you will find how to modify the setup.

Type	Name	Quota Type	Inputs (with units)	Notes

Type	Name	Quota Type	Inputs (with units)	Notes
Unconditional	Zero Quota Percent	None	Compensation input: %	Simple % compensated to the sales agent, without any quota needed (no minimal amount of sales needed to be eligible for compensation). To be used mainly with SPIFF Compensation Plan.
Conditional	Single Quota Amount	Single	Quota input: $ Compensation input: $	Can be interpreted as: “if you reach X amount, you get Y amount”. Available also for the SPIFF Compensation Plan.
Conditional	Single Quota Percent	Single	Quota input: $ Compensation input: %	Available also for the SPIFF Compensation Plan.
Multi	Multi Quota Amount	Multi	Quota input: $ Compensation input: $	Available also for the SPIFF Compensation Plan.
Multi	Multi Quota Percent	Multi	Quota input: $ Compensation input: %	Available also for the SPIFF Compensation Plan.
Stepped	Repetitive Quota Amount	Multi	Quota input: $ Compensation input: $	Captures scenario e.g. get 10$ compensation for every 1000$ of revenue. To be used mainly with SPIFF Compensation Plan.
	Stepped Amount	Multi	Quota input: $ Compensation input: $	Available also for the SPIFF Compensation Plan.
	Stepped Percent	Multi	Quota input: $ Compensation input: %	Available also for the SPIFF Compensation Plan.
Growth	Growth Absolute Amount	Multi	Quota input: $ Compensation input: $	Can be interpreted as: “if you grow by X% from Q1 to Q2, you get Y amount”.
	Growth Absolute Percent	Multi	Quota input: $ Compensation input: %
	Growth Percent Amount	Multi	Quota input: % Compensation input: $
	Growth Percent Percent	Multi	Quota input: % Compensation input: %
Bonus	Flat Bonus	Single	Quota input: $ Target Incentive input: $	Available also for the SPIFF Compensation Plan.
	Multi Target Bonus	Multi	Quota input: $ Target Incentive input: $ Multi Target Bonus: Target Achievement: % Bracket Bonus Rate: %	Available also for the SPIFF Compensation Plan.
	Stepped Bonus	Multi	Quota input: $ Target Incentive input: $ Stepped Bonus input: Target Achievement input: % Bracket Bonus Rate input: %	Available also for the SPIFF Compensation Plan.
Variable Pay	Variable Pay Linear Amount	Single	Quota input: $ Variable Pay input: %
	Variable Pay Multi Target Amount	Multi	Quota input: $ Variable Pay input: % Stepped Bonus input: Target Achievement input: % Bracket Bonus Rate input: %
	Variable Pay Stepped Amount	Multi	Quota input: $ Variable Pay input: % Stepped Bonus input: Target Achievement input: % Bracket Bonus Rate input: %

The dollar $ sign represents a currency in general, not an actual USD.

Calculation Examples

Zero Quota Percent

Inputs in the plan:

Compensation – %

Success formula (always success): ( COMPENSATION_INPUT / 100 ) x BASELINE

Example

Compensation [input]	Baseline	Compensation [output]

Compensation [input]	Baseline	Compensation [output]
1%	$110,000	$1,100
1%	$90,000	$900

Single Quota Amount

Inputs in the plan:

Quota – $
Compensation – $

Success formula: COMPENSATION_INPUT

Example

Quota [input]	Compensation [input]	Baseline	Compensation [output]

Quota [input]	Compensation [input]	Baseline	Compensation [output]
$100,000	$1,000	$110,000	$1,000
$100,000	$1,000	$90,000	$0

Example with Volume Based Quota

Let’s assume that for every 10 products sold the Sales Agent gets 10$. Quota can be defined as volume (Quantity field in the Datamart, can be pieces, kg, etc.). Baseline stands for how many pieces the seller sold.

Volume based quota is applicable to all amount/bonus types (types where compensation is not defined as % of baseline).

Quota [input]	Compensation [input]	Baseline	Baseline Value	Compensation [output]

Quota [input]	Compensation [input]	Baseline	Baseline Value	Compensation [output]
10	$10	Quantity	4	$0
10	$10	Quantity	15	$10

Single Quota Percent

Inputs in the plan:

Quota – $
Compensation – %

Success formula: ( COMPENSATION_INPUT / 100 ) x BASELINE

Example

Quota [input]	Compensation [input]	Baseline	Compensation [output]

Quota [input]	Compensation [input]	Baseline	Compensation [output]
$100,000	1%	$110,000	$1,100
$100,000	1%	$90,000	$0

Multi Quota Amount

Inputs in the plan:

Quota – $
Compensation – $

Success formula: COMPENSATION_INPUT

Example

Quota [tiered input]	Compensation [tiered input]

Quota [tiered input]	Compensation [tiered input]
$1000	$100
$1500	$150

Result:

Baseline ($)	Compensation [output]

Baseline ($)	Compensation [output]
$100	$0
$1100	$100
$1600	$150

Multi Quota Percent

Inputs in the plan:

Quota – $
Compensation – %

Success formula: ( COMPENSATION_INPUT / 100 ) x BASELINE

Example

Quota [tiered input]	Compensation [tiered input]

Quota [tiered input]	Compensation [tiered input]
$1000	1%
$1500	10%

Result:

Baseline ($)	Compensation [output]

Baseline ($)	Compensation [output]
$100	$0
$1100	$11
$1600	$160

Repetitive Quota Amount

Inputs in the plan:

Quota(s) – $
Compensation(s) – $

Success formula: COMPENSATION_INPUT x (BASELINE / QUOTA) (Euclidean division)

Example

Definition:

Quota [input] – Step	Compensation [input]

Quota [input] – Step	Compensation [input]
$10,000	$100

Result:

Baseline	Compensation [output]

Baseline	Compensation [output]
$5,000	$0
$15,000	$100
$110,000	$1,100

Stepped Amount

Inputs in the plan:

Quota(s) – $
Compensation(s) – $

Success formula for step 1: COMPENSATION_INPUT_FOR_STEP1

Success formula for step 2: COMPENSATION_INPUT_FOR_STEP1 + COMPENSATION_INPUT_FOR_STEP2

Example

Definition:

Quota [tiered input] – Step	Compensation [input]

Quota [tiered input] – Step	Compensation [input]
$10,000	$100
$50,000	$500
$100,000	$5,000

Result:

Baseline	Compensation [output]

Baseline	Compensation [output]
$5,000	$0
$15,000	$100
$110,000	$100 + $500 + $5,000 = $5,600

Stepped Percent

Inputs in the plan:

Quota(s) – $
Compensation Value(s) – %

Success formula for step 1: (COMPENSATION_INPUT_FOR_STEP1 / 100 ) x (BASELINE - TARGET_STEP1)

Success formula for step 2: ((COMPENSATION_INPUT_FOR_STEP1 / 100 ) x TARGET_STEP1) + ((COMPENSATION_INPUT_FOR_STEP2 / 100 ) x (BASELINE - TARGET_STEP2))

Example

Definition:

Quota [tiere input] – Step	Compensation Value [input]

Quota [tiere input] – Step	Compensation Value [input]
$10,000	1%
$50,000	3%
$100,000	10%

Result:

Baseline	Compensation [output]

Baseline	Compensation [output]
$5,000	$0
$15,000	($5,000 1%) =* $50
$110,000	($40,000 1%) + ($50,000 * 3%) + ($10,000 * 10%) = $400 + $1,500 + $1,000 =* $2,900

Growth Absolute Amount

Comparison to some previous period – Month, Quarter, Semi-Year, Year.

Inputs in the plan:

Quota(s) – $
Compensation Value(s) – $

Success formula: COMPENSATION_INPUT_FOR_TIER

Example

Definition:

Quota [input] – Growth Tier	Compensation Value [input]

Quota [input] – Growth Tier	Compensation Value [input]
$10,000	$100
$25,000	$300
$100,000	$10,000

Result:

Growth Baseline (Current – Previous)	Compensation [output]

Growth Baseline (Current – Previous)	Compensation [output]
$5,000	$0
$30,000	$300
$150,000	$10,000

Growth Absolute Percent

Comparison to some previous period – Month, Quarter, Semi-Year, Year.

Inputs in the plan:

Quota(s) – $
Compensation Value(s) – %

Success formula: (COMPENSATION_INPUT_FOR_TIER / 100) x BASELINE

Example

Definition:

Quota [input] – Growth Tier	Compensation [input]

Quota [input] – Growth Tier	Compensation [input]
$10,000	1%
$25,000	2%
$100,000	5%

Result:

Baseline	Compensation [output]

Baseline	Compensation [output]
$5,000	$0
$25,000	$500
$150,000	$7,500

Growth Percent Percent

Comparison to some previous period – Month, Quarter, Semi-Year, Year.

Inputs in the plan:

Quota(s) – %
Compensation Value(s) – %

Success formula: (COMPENSATION_INPUT_FOR_TIER / 100) x BASELINE

Example

Definition:

Quota [input] – Growth Tier %	Compensation Value [input]

Quota [input] – Growth Tier %	Compensation Value [input]
2%	1%
5%	3%
10%	5%

Result:

Baseline	Calculation Baseline	Compensation [output]

Baseline	Calculation Baseline	Compensation [output]
1%	$10,000	$0
2%	$100,000	$1,000
11%	$100,000	$5,000

Growth Percent Amount

Comparison with some previous period – Month, Quarter, Semi-Year, Year.

Inputs in the plan:

Quota(s) – %
Compensation Value(s) – $

Success formula: COMPENSATION_INPUT_FOR_TIER

Example

Definition:

Quota [input] – Growth Tier %	Compensation Value [input]

Quota [input] – Growth Tier %	Compensation Value [input]
2%	$1,000
5%	$10,000
10%	$25,000

Result:

Baseline	Compensation [output]

Baseline	Compensation [output]
1%	$0
2%	$1,000
11%	$25,000

Flat Bonus

Inputs in the plan:

Quota – $
Target Incentive – $

Success formula: (BASELINE / QUOTA) x TARGET_INCENTIVE

Example

Quota [input]	Target Incentive [input]	Baseline	Compensation [output]

Quota [input]	Target Incentive [input]	Baseline	Compensation [output]
$100,000	$100	$110,000	$110
$100,000	$1,000	$90,000	$900

Multi Target Bonus

Inputs in the plan:

Quota – $
Target Incentive – $
Target Achievement – %
Bracket Bonus Rate – %

Success formula for baseline under tier 1: (BASELINE / QUOTA) x TARGET_INCENTIVE x BRACKET_BONUS_RATE_FOR_TIER_1 / 100

Success formula for baseline under tier 2: (((BRACKET_BONUS_RATE_FOR_TIER_1 / 100 x QUOTA) / QUOTA) x TARGET_INCENTIVE x BRACKET_BONUS_RATE_FOR_TIER_1 / 100) + ((BASELINE - (BRACKET_BONUS_RATE_FOR_TIER_1 / 100 x QUOTA)) / QUOTA x TARGET_INCENTIVE x BRACKET_BONUS_RATE_FOR_TIER_2 / 100

Example

Quota [input] – $1,000

Target Incentive [input] – $100

Tiers definition:

Target Achievement [tiered input]	Bracket Bonus Rate [tiered input]

Target Achievement [tiered input]	Bracket Bonus Rate [tiered input]
120%	3%
140%	5%
250%	10%

Result:

Baseline ($)	Target Achievement (%)	Bracket Bonus Rate (%)	Compensation [output]

Baseline ($)	Target Achievement (%)	Bracket Bonus Rate (%)	Compensation [output]
$1,000	120%	3%	$3
$1,300	140%	5%	$4.1
$2.000	250%	10%	$10.6
$3.000	250%	10%	$20.6

Stepped Bonus

Inputs in the plan:

Quota – $
Target Incentive – $
Target Achievement – %
Bracket Bonus Rate – %

Success formula for baseline under tier 1: (BASELINE / QUOTA) x TARGET_INCENTIVE x BRACKET_BONUS_RATE_FOR_TIER_1 / 100

Success formula for baseline under tier 2: (BASELINE / QUOTA) x TARGET_INCENTIVE x BRACKET_BONUS_RATE_FOR_TIER_2 / 100

Example

Quota [input] – $1,000

Target Incentive [input] – $100

Tiers definition:

Target Achievement [tiered input]	Bracket Bonus Rate [tiered input]

Target Achievement [tiered input]	Bracket Bonus Rate [tiered input]
120%	3%
140%	5%
250%	10%

Result:

Baseline ($)	Target Achievement (%)	Bracket Bonus Rate (%)	Compensation [output]

Baseline ($)	Target Achievement (%)	Bracket Bonus Rate (%)	Compensation [output]
$1,000	120%	3%	$3
$1,300	140%	5%	$5
$2.000	250%	10%	$10
$4.000	above 250%	0%	$0

Please note that the Compensation drops to zero when the tier is not defined (in the example it is the case of “above 250%” Target Achievement).

Variable Pay Linear Amount

Inputs in the plan:

Quota – $
Variable Pay – %

Success formula: (BASELINE / QUOTA) x VARIABLE_PAY / 100 x SELLER_SALARY

Example

Quota [input]	Variable Pay [input]	Baseline	Seller Salary (Annual)	Compensation [output]

Quota [input]	Variable Pay [input]	Baseline	Seller Salary (Annual)	Compensation [output]
$1,000,000	10%	$300,000	$60000	$1,800
$100,000	2%	$90,000	$80000	$1,440

In case of Group compensations the salary taken to calculations is the average of all included seller salaries.

Variable Pay Multi Target Amount

Inputs in the plan:

Quota – $
Variable Pay – %
Target Achievement – %
Bracket Bonus Rate – %

Success formula for baseline under tier 1: (BASELINE / QUOTA) x VARIABLE_PAY / 100 x SELLER_SALARY x BRACKET_BONUS_RATE_FOR_TIER_1 / 100

Success formula for baseline under tier 2: (((BRACKET_BONUS_RATE_FOR_TIER_1 / 100 x QUOTA) / QUOTA) x VARIABLE_PAY / 100 x SELLER_SALARY x BRACKET_BONUS_RATE_FOR_TIER_1 / 100) + ((BASELINE - (BRACKET_BONUS_RATE_FOR_TIER_1 / 100 x QUOTA)) / QUOTA x VARIABLE_PAY / 100 x SELLER_SALARY x BRACKET_BONUS_RATE_FOR_TIER_2 / 100

Example

Quota [input] – $1,000

Variable Pay [input] – 10%

Tiers definition:

Target Achievement [tiered input]	Bracket Bonus Rate [tiered input]

Target Achievement [tiered input]	Bracket Bonus Rate [tiered input]
120%	3%
140%	5%
250%	10%

Result:

Baseline ($)	Target Achievement (%)	Bracket Bonus Rate (%)	Seller Salary ($)	Compensation [output]

Baseline ($)	Target Achievement (%)	Bracket Bonus Rate (%)	Seller Salary ($)	Compensation [output]
$1,000	120%	3%	$10,000	$3000
$1,300	140%	5%	$10,000	$4,100
$2,000	250%	10%	$10,000	$10,600
$3,000	250%	10%	$10,000	$20,600

Variable Pay Stepped Amount

Inputs in the plan:

Quota – $
Variable Pay – %
Target Achievement – %
Bracket Bonus Rate – %

Success formula for baseline under tier 1: (BASELINE / QUOTA) x VARIABLE_PAY / 100 x SELLER_SALARY x BRACKET_BONUS_RATE_FOR_TIER_1 / 100

Success formula for baseline under tier 2: (BASELINE / QUOTA) x VARIABLE_PAY / 100 x SELLER_SALARY x BRACKET_BONUS_RATE_FOR_TIER_2 / 100

Example

Quota [input] – $1,000

Target Incentive [input] – $100

Tiers definition:

Target Achievement [tiered input]	Bracket Bonus Rate [tiered input]

Target Achievement [tiered input]	Bracket Bonus Rate [tiered input]
120%	3%
140%	5%
250%	10%

Result:

Baseline ($)	Target Achievement (%)	Bracket Bonus Rate (%)	Seller Salary ($)	Compensation [output]

Baseline ($)	Target Achievement (%)	Bracket Bonus Rate (%)	Seller Salary ($)	Compensation [output]
$1,000	120%	3%	$10,000	$3,000
$1,300	140%	5%	$10,000	$5,000
$2.000	250%	10%	$10,000	$10,000
$4.000	above 250%	0%	$10,000	$0

Compensation Records Calculation

Payout Value Calculation

The “Annual” target needs a Deposit Scheme. The scheme decides if the calculation is split by the number of periods in the target time span.

Input information:

Condition Type: [SC] Single Quota Amount
Payment Period: Quarterly
Quota For: Plan Duration

Target input:

Target Input: 100,000.0
Compensation Input: 1,000.0

As the payment period is each quarter, we have 4 Compensation Records with the following data:

Compensation Record	Period	Period Sale	Cumulative Sale

Compensation Record	Period	Period Sale	Cumulative Sale
COR01	Q1	90,000	90,000
COR02	Q2	11,000	101,000
COR03	Q3	49,000	150,000
COR04	Q4	50,000	200,000

Non-Cumulative Example

The calculation is driven by following an execution pattern.

If ( Cumulative_Sale > Target_Input ) then
    Compensation_Value = Compensation_Input / 4  
end

Compensation Record	Period	Compensation Value

Compensation Record	Period	Compensation Value
COR01	Q1	0
COR02	Q2	250
COR03	Q3	250
COR04	Q4	250

Cumulative Example

The calculation is driven by following an execution pattern.

If ( Cumulative Sale > Target_Input ) then
    Compensation_Value = ( Compensation_Input / 4 ) * Current_Period_Index - Accrual
end

Compensation Record	Period	Current Period Index	Accrual	Compensation Value

Compensation Record	Period	Current Period Index	Accrual	Compensation Value
COR01	Q1	1	0	0
COR02	Q2	2	0	500
COR03	Q3	3	500	250
COR04	Q4	4	750	250