Sales Commission and Incentive Policy Template

This sales commission and incentive policy template has 3 pages and is a MS Word file type listed under our human resources documents.

Sample of our sales commission and incentive policy template:

SALES COMMISSION & INCENTIVE POLICY INTRODUCTION [COMPANY NAME] is committed to recognizing and rewarding the outstanding performance of our sales team. This Sales Commission and Incentive Policy outlines the structure, eligibility criteria, and guidelines for sales commissions and incentives. COMMISSION STRUCTURE Eligibility: Sales commissions are available to eligible employees who have a direct impact on revenue generation. Eligible positions may include sales representatives, account managers, and others involved in sales. Commission Rate: The commission rate will be calculated based on sales performance. The specific rate may vary for different products or services and may be subject to changes, which will be communicated in advance. Sales Targets: Sales targets and quotas will be established for eligible employees. Commissions are earned when these targets are met or exceeded. INCENTIVE PROGRAMS [COMPANY NAME] may offer various incentive programs to motivate and reward exceptional sales performance. These may include: Bonuses: Bonuses are one-time or periodic rewards for achieving specific sales milestones or exceeding targets. Sales Contests: Periodic sales contests may be held to promote healthy competition and reward top performers with prizes, trips, or other incentives. Recognition: [COMPANY NAME] is committed to recognizing outstanding sales performance through awards, certificates, or other forms of acknowledgment. COMMISSION PAYMENT CYCLE [COMPANY NAME] is dedicated to providing a clear and predictable commission payment cycle to eligible employees. The details of the commission payment cycle, as well as the method of payment, will be communicated to eligible employees at the start of their employment or when changes to the payment structure occur. Payment Frequency: Commissions will typically be paid on a regular schedule, and the payment frequency may vary depending on the sales period. Common payment frequencies include monthly, quarterly, or annually. Timing: The timing of commission payments will align with the end of the sales period