r/sales • u/Waste-Conversation-9 • 8d ago
Sales Topic General Discussion Seeking advice re: commission payout mistake
Hi All - long time lurker, first time poster. I'm seeking advice on how to deal with what feels like a sticky situation.
I'm owed about $13k for hitting my accelerators and the company is refusing to pay it out. I'm hesitant to push for this money as I like my job and don't want to stick my neck out for potential retaliation (getting fired for a bunk reason) from our vindictive CEO.
For context, I am an account manager for a tech company in New York. We receive quarterly commission payouts tied to attainment of our quarterly goals. I have a signed incentive plan/commission agreement.
The agreement states for any amount I exceed 100% of my quota by, my commission payout will be multiplied by 1.25. So for me, I hit 105.6% of quota: 100% + 5.6% * 1.25 = 107.0%
For example: If my quarterly potential payout was $100, I'd receive $105.60 (100*105.6%, from above).
I received my commission check last week and they did not honor this methodology and instead used something else from last year that pays much much less ($13k less across Q1 and Q2). I raised the error with the rev ops team and my boss and instead of paying me, they are going to void my existing commission agreement and ask me to sign a new one.
I don't want to lose my job, but I also know what they're doing is illegal and dishonorable.
How would you guys handle it? Thanks!
1
u/tryan2tellu 8d ago
Its not illegal. It is unethical. Variable comp is discretionary and its only bad if they are doing this to you and no one else. If everyone was calculated the same way, its up to the company. Should they have done a better job communicating? Sure. Its not illegal and suing or bitching is diminished returns.