Comp plan margin stress-test

This is for home offices planning a comp plan. It doesn't estimate what a consultant takes home. Plug in product gross margin and proposed field rates to see what contribution margin the company keeps after consultant commissions, upline overrides, and other bonuses. Pair with comp-plan anatomy when you brief leadership.

Rate & margin inputs

Qualifying retail / PV ($)

Product gross margin on that retail (%)

Consultant / personal commission on retail (%)

Upline / override on retail (%)

Other field bonuses on retail (%)

% of retail that is non-commissionable (hostess rewards etc.)

Optional company keep target

Target company margin left (%)

Target measured as

Model: Gross margin $ = retail x margin%. Commissionable retail = retail x (1 - non-commissionable%). Field payouts apply only to commissionable retail. Company margin left = gross margin $ - total field cost $.

Scenario note: This models one period. Real plans have ranks, compression, and breaks, so treat the result as a rough range.

Decision outputs

Gross margin $

Product contribution before field payouts

Total field cost $

Consultant + upline/override + other bonuses

Company margin left $

Gross margin - total field cost

Compared to your target

Set an optional keep target

Field cost as % of retail

Field cost as % of gross margin

Share of product margin consumed by the field

Company retained as % of retail

Company retained as % of gross margin

Share of product margin kept by the company

Field cost breakout

Commissionable retail

Consultant commission $

Upline / override $

Other field bonuses $

Rough numbers only. It leaves out shipping, tax, returns, compression, rank breaks, and other plan details. It isn't a forecast or a compliance check. See anatomy of a comp plan.