True or False
Commission is the same thing as salary.
False
Pay plan where you earn a salary AND a commission
Appeals to highly motivated individuals driven by performance-based incentives.
Commission
Advantage
Commission can be earned in addition to salary
True
Pay plan where you are only paid in commission; you do not earn a base salary.
Pure commission
Favored by those seeking financial stability and benefits, as it provides a consistent income with no changes coming from external factors.
Salary
advantage
Commission-based pay was first used in the early 20th century.
Employee can obtain an advance payment that is taken away from their earned commissions later
Gives employees the ability to maximize their production, directly linking compensation to efficiency
Commission
Disadvantage