Compensation Plan Definitions

Transcription

1 Compensation Plan Definitions Compression When an IBO is not qualified with 100PSV or 200PSV (based on rank) then that IBO will not be qualified for any organizational sales volume bonus and not considered a generation within sponsorship Unilevel pay structure. Any volume less than required qualification will compress upline. Once IBO is qualified with required PSV then that IBO will be considered a qualified generation. Qualification status is based and calculated calendar month to month with qualification status available to each calendar month. Cycle When IBO reaches 10 maximum steps based on dual team volume requirement listed in compensation plan Dual Team Step Carry Over IBO that reach rank of Associate level are eligible to participate in Dual Team Bonus that pays based on 10 step cycle requirement. Dual Team Volume (DTV) is calculated calendar month to calendar month. Rank will determine how many cycles are available for each rank. Associate is eligible to cycle 1 time each calendar month and if Associate does not reach full 10 steps in any one calendar month the remaining steps will carry over to the following month with the ability to reach the remaining steps plus another full cycle for that month. Carry over is only available to Associates up to the following calendar month. Any steps not achieved at any other rank will expire in the same month with the step achievement starting over at step 1 each calendar month. Dual Team Stored Volume- (DTV) Dual team volume (DTV) is assigned dollar amount related to certain Empowerment industry sector products and services. DTV that is not used in the same calendar month generated, that volume will carry over and bank for sixty (60) days. On the 61 st day any DTV accumulated on day 1 will expire for commission calculation. Any DTV generated on Day 2 will expire on day 62 and so on. Downline Individual IBO that Enrolls another IBO that Enrolls other IBO resulting in an organization structure connected by Enroller. IBO related business opportunity upfront and monthly fees are NON commissionable. Dual Team Bonus (DTB) Once an active IBO has personally Enrolled two IBO s that are qualified with one IBO placed on Enroller right team and other IBO is placed on Enroller left team this will initiate the ability for the Enroller to earn DTB commissions related to the selling Empowerment industry sector commissionable products and or services. DTB are allocated on certain products deemed by company with commissions issued based on 10 step cycle. Dual Team Volume (DTV) Set dollar amount assigned to certain (not all) commissionable products paid in the DTB pay system End Consumer (EC) Non IBO that purchases commissionable product and or service from an IBO industry sector retail website. An end consumer does not participate as an IBO or receives any financial compensation. Enroller An IBO that personally recruits another IBO and is structured in Enroller downline. There is NO financial consideration offered to any Enroller for recruiting another IBO. Generation Associated with Unilevel and Sales volume requirement of maintaining 100/200PSV. An IBO that is qualified with 100/200PSV will be considered a generation. Any IBO that is NOT qualified with 100/200PSV will not be considered a qualified generation for that calendar month. Uplines are paid min 8 generation of 10% based on qualified (100PSV) generations. Non-qualified generations compressing that calendar month with volume paid to next qualified generation following sponsorship. Independent Business Owner - (IBO) Individual that is 18 years of age or older that completes an independent contractor agreement and pays Empowerment related IBO upfront and monthly fees. IBO has an expectation to have the marketing rights to represent one or all Empowerment industry sectors to sell end consumer products and services to earn retail commissions. Based on certain sales volume qualifications an IBO can earn from others avenues of income based on company compensation plan. 1

2 IBO has the ability to build a sales team of other IBO s by recruiting and enrolling each IBO within related Empowerment policies and procedures. Prior to any IBO approved to enroll another IBO the IBO must complete IBO virtual training that includes an overview of Empowerment policies and procedures, compensation plan, and other important training. IBO is required to take an on-line exam and pass the IBO exam at 80% to be qualified to recruit another IBO or activate their reseller website. An IBO can earn additional avenues of income from sales generated from their IBO team based on certain personal qualifications outlined in the Empowerment compensation plan. An IBO is NOT compensated for recruiting another IBO and earns no money related to IBO business fees. Leg- Once IBO is sponsored in the Unilevel that IBO, and related organization, below becomes a leg. The Unilevel is not restrictive of how many legs any IBO can generate. Leg follows the sponsor. Personal Customer - (PC) An end consumer (that is not an IBO or participating in the company compensation system) that purchases any Empowerment industry sector related products or services that are deemed commissionable and not related to IBO opportunity or monthly IBO service fees. Personal Sales Volume (PSV) Any industry sector related retail products and services sold by an IBO are assigned a sales volume (SV) dollar amount. Any product and or service sold by an individual IBO will count towards IBO personal SV required to qualify for team/organizational bonuses related to Empowerment compensation plan. IBO is required to maintain 100 PSV (200 PSV at higher ranks) each calendar month to be fully qualified. IBO can only use 100% of first calendar month PSV for qualification and then any calendar month thereafter IBO can only use $50/$100 (MD or higher) of PSV for qualification with the balance $50/$100 PSV generated from end consumers/customers. Sponsor Once an IBO Enrolls (recruits) another IBO the Enroller can place their new IBO on the left or right side of the Dual Team structure then the Enroller will Sponsor their new IBO front line in the Unilevel (Sales Volume) or can give up sponsorship to any other IBO structured below the Enroller 1 st line Sponsorships. Sponsor follows the placement of the Unilevel that relates to sales volume bonuses. Sales Volume (SV) All Empowerment industry sector related retail or wholesale products and services sold by an IBO or purchased by an IBO is assigned a dollar amount towards sales volume bonus calculation. Retail Commission- (RC) Set dollar amount assigned to each product or service that is paid direct to IBO for the sale of any Empowerment industry sector products and or services. There is no qualification other than maintaining IBO monthly business service fees. Up Line Once an IBO is contracted, their Enroller is considered their upline along with all other IBO s that are connected in order of Enrollment that starting with the first Enrollers entered into Empowerment genealogy reporting system. Unilevel (UL) All Empowerment industry sector products and services are assigned sales volume dollar amount that is paid upline eight (8) generations of 10% of organization sales volume. 2

3 Positions and Qualifications: Compensation Plan Rank Advancement Independent Business Owner (IBO) IBO agrees to company terms and conditions and issued business opportunity fees to Empowerment for related IBO team builder website and monthly services. IBO will be considered Qualified IBO once IBO has completed the IBO getting started virtual training and pass related exam at 80% or higher. If IBO does not take or pass related exam IBO will not be eligible to sponsor other IBO s or earn organizational bonuses but only be eligible to earn retail commissions based on personal sales of company commissionable products and services that pay retail commission. IBO is required to maintain monthly service fee and be in good standing with company. If an IBO fails related getting started exam the IBO can retake the exam until IBO achieves 80% or higher. Non-Qualified IBO Paying related IBO business fees and completes and passes IBO getting started virtual training. *Earn retail commissions from 10% to 20% or higher from any industry sector reseller website. Percentage payout related to retail commission are based on the individual products and percentage assigned by company. Qualified IBO Paying related IBO business fees and completes and passes IBO getting started virtual training. Plus: Generated $100PSV in any one calendar month Can qualify on same month of getting started *Earn retail commissions from any industry sector reseller website *Participate in Unilevel and earn 8 qualified generations GSV IBO can use $100% of PSV for 1 st month PSV qualification but any calendar month thereafter IBO can only use $50 of $100 personal SV requirement related to personal consumption with remaining $50PSV generated from end consumer(s) sales. Associate IBO advances in company compensation system by conducting the following: *Accumulating 500PSV over any time (advancement can occur same calendar month) *Plus maintain min 100PSV within calendar month per calendar month. ganizational advancement: *Maintain $100PSV within any calendar month *Enroll 2 qualified IBO s (1 IBO on left team and 1 IBO on right team) *Earn retail commissions from any industry sector reseller website *Participate in Dual team bonus and Cycle 1 time any calendar month *Participate in Unilevel up to 8 qualified generations Senior Associate IBO advances in company compensation system by conducting the following: *Achieved Associate level *Accumulate 5000PSV over any time *Plus maintain 100PSV within calendar month ganizational advancement: *Generate 50,000GSV with max 25kGSV per leg can be used (two consecutive months) *Plus maintain $100PSV within any calendar month * IBO can only use $50 for personal purchase with remaining $50PSV from end consumer 3

4 * Participate in Dual team bonus and eligible to cycle 2 time per calendar month *Participate in Unilevel up to 8 qualified generations *25 Travel points each qualified month Director IBO advances in Company compensation system by conducting the following: *Accumulate $10,000PSV over any time *Plus maintain $100PSV within calendar month ganizational advancement: *Generate $100,000GSV with maximum $50kGSV per leg can be used *Plus maintain $100PSV within any calendar month * IBO can only use $50PSV for personal purchase with remaining $50PSV generated from end consumer *Participate in Dual team bonus and eligible to cycle 4 time per calendar month *Participate in Unilevel bonus up to 8 qualified generations *Generate 50 travel points per month *Consideration as field trainer Regional Director IBO advances in Company compensation system by conducting the following: *Accumulate $50,000PSV over any time *Plus maintain $100PSV within calendar month ganizational advancement: *Generate $250,000 GSV with maximum $100kGSV per leg can be used (two consecutive months) *Plus maintain $100PSV within any calendar month * IBO can only use $50 for personal purchase with remaining $50PSV generated from end consumer *Participate in Dual team bonus and eligible to cycle 15 time per calendar month *Participate in Unilevel bonus up to 8 qualified generations *Generate 100 travel points per month *Consideration as field trainer *Business builder bonus $500 per month National Director IBO advances in Company compensation system by conducting the following: *Accumulate $100,000 PSV over any time *Plus maintain $200PSV within calendar month ganizational advancement: *Generate $500,000GSV with maximum $200kGSV per leg can be used (two consecutive months) *Plus maintain $200PSV within any calendar month * IBO can only use $100PSV for personal purchase with remaining $100PSV generated from end consumer *Participate in Dual team bonus and eligible to cycle 30 time per calendar month *Participate in Unilevel bonus up to 8 qualified generations *Generate 200 travel points per month *Consideration as field trainer *Business builder bonus $1,000 per month * 10% infinity bonus (until blocked by same rank) 4

5 International Director IBO advances in Company compensation system by conducting the following: *Accumulate $500,000 PSV over any time *Plus maintain $200PSV within calendar month *Generate $1,000,000GSV with maximum $300,000GSV per leg can be used (two consecutive months) *Plus maintain $200PSV within any calendar month * IBO can only use $100 from personal purchases with remaining $100PSV generated from end consumers *Participate in Dual team bonus and eligible to cycle 30 time per calendar month *Participate in Unilevel bonus up to 8 qualified generations *Generate 400 travel points per month *Consideration as field trainer *Business builder bonus $3,000 per month * 10% infinity bonus (until blocked by same rank) *Additional 10% infinity bonus (until blocked by same rank) Avenues of Income and Qualification All fees related to IBO team business website $70 and monthly support service fee $25 are not commissionable to any IBO. Compensation is based on sales of Empowerment industry sector products and services that are referred as commissionable will have retail, duel team volume (DTV) or sales volume (SV) dollar amounts assigned for payout to an IBO based on the following compensation schedule. Retail Earnings: When IBO sells any commissionable product and or service to non-ibo (end consumer/customer), the IBO will earn a set dollar amount paid to the IBO without any qualification other than being an IBO. Qualification: Active IBO Payment issued: Every Friday for prior week retail sales (5 business day delay) Example: Week #1 Monday through Friday with payment issued following Friday Duel Team Bonus Earn up to $1,000 per cycle from (DTV) of company related products and services related to organization sale of certain commissionable products and services. (80% cap payout) DTV banks for 60 days with day one volume expiring on day 61 and so on.. Qualifications: Qualified Associate Payment issued: Every Friday for prior week retail sales (5 business day delay) Example: Week # 1 Monday through Friday with payment issued following Friday One cycle = DTV organization business generates 10 achievement steps Step Left Team Right Team Total DTV Commission 1 200DTV 200 DTV 400 DTV $ DTV 200 DTV 800 DTV $ DTV 200 DTV 1200 DTV $ DTV 200 DTV 1600 DTV $ DTV 300 DTV 2200 DTV $ DTV 300 DTV 2800 DTV $ DTV 400 DTV 3600 DTV $ DTV 400 DTV 4400 DTV $ DTV 400 DTV 5200 DTV $200 5

6 10 400DTV 400 DTV 6000 DTV $300 Total 3000 DTV 3000 DTV 6000 DTV $1,000 Sales Volume Bonus Qualified IBO that achieves the rank of Associate can earn up to eight (8) generations of 10% of assigned sales volume (SV) from the sale of commissionable products and services generated from downline organization. One generation is determined by the next downline Associates that is qualified with minimum of $100PSV or as ND or ID $200PSV in related calendar month. If a generation has $0SV or less than $100PSV/$200PSV then the non-qualified Associate remaining volume will compress to the next qualified Associate or above. Example: Associate sponsors person (A) then person (A) sponsor s person (B) then person (B) sponsors person (C) resulting in three generations. Once the qualification period has concluded and person (A) has no volume then person (B) will compress to position (A) and person (C) will compress to position (B). Each week the system will start over to determine qualification levels. Qualifications: Qualified Associate or above maintaining $100PSV per calendar month Payment issued: By the 20 th of each calendar month for prior month SV Example: SV generated in August will be paid once per month by the 20 th of September Generational Infinity Bonus National Director can earn additional 10% infinity bonus of Sale Volume (SV) generated beyond 8 generations until blocked by another National Director. International Director can earn additional 10% (plus National 10%) infinity bonus of Sale Volume (SV) generated beyond 8 generations until blocked by another International Director. Qualifications: National and International Director and maintaining $200PSV per calendar month Payment issued: By the 20 th of each calendar month for prior month SV Example: SV generated in August will be paid once per month by the 20 th of September Business Builder Bonus This bonus will be issued based on dollar amount related to IBO ranking and will be issued by the 20 th of each calendar month at the same time SV and Generational bonuses paid. *This bonus should be used for business related expenses and not used for any long term payment obligation such as car or other item that could place IBO into financial liability. Rank Dollar amount Regional Director $500 National Director $1000 International Director $3000 6

7 Other Compensation Rules IBO renewal: Each year every IBO will automatically renew based on maintaining IBO monthly fees. In the event monthly fees are not paid the IBO will have two calendar month grace period to reactive by issuing back payment. If the IBO monthly fees are delinquent for 3 consecutive months then the IBO position will be suspended and IBO notified to issue back payment or have position terminated. Any IBO position terminated and can be default to the company and reassigned to another party with no further consideration to original IBO. Compression for SV monthly pay cycle: All commissions and bonuses will be issued to qualified Associates and above based on SV qualification requirements. If an Associate or above does not meet specified monthly qualification the Associate will maintain rank but will not receive related bonuses until the following month after qualification month. If an Associate is not qualified their organization will compress to next qualified Associate or above. Example: If an Associate sponsors person (A) who sponsors person (B) who sponsors person ( C ) and person (B) is not qualified then person ( C ) would compress to (B) spot for that month with all downline following compression roll up. Ranks and Pay Cycle: Each IBO rank requires certain qualifications based on personal and or group monthly sales volume and or structure qualification. During the first calendar month IBO can earn Retail commission without any other qualifications. IBO can advance to associate up to director in same calendar month and receive team cycle bonuses, SV bonuses based on related commissionable volume completed within their organization during the same calendar month. For example: IBO qualified with required SV in starting calendar month as Associate, Senior Associate or Director. Once qualified as Associate or above IBO will be qualified the following week to earn dual team bonuses and GSV bonuses. GSV will be issued by the 20 th of following calendar month. Example: IBO qualifies as Associate in second week of March, and then IBO will be qualified as Associate to earn third week duel tem bonuses and qualified for 8 generations of GSV generated in March and paid in April as long as IBO generated $100PSV by the end of March. 7

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