Sales Operationstemplate

Sales Compensation Design: Motivate the Right Behaviors

Compensation plan templates and frameworks for SDRs, AEs, managers, and CS teams. Includes OTE calculations, accelerator structures, and SPIFs.

LeadFinder Sales Team14 min read398 downloads
Sales compensation design framework with incentive structures and quota planning
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Compensation Drives Behavior

Your comp plan is your most powerful management tool. Design it wrong and you'll incentivize the wrong behaviors. Design it right and your team will naturally do what's best for the business.

Compensation Structure by Role

RoleBase:VariableOTE RangePrimary Metric
SDR60:40$55-75KMeetings booked
AE (SMB)50:50$80-120KClosed revenue
AE (Mid-Market)50:50$120-180KClosed revenue
AE (Enterprise)55:45$180-300KClosed revenue
Sales Manager60:40$150-250KTeam attainment
VP Sales65:35$250-400KTotal revenue

The Accelerator Framework

Reward over-performance with increasing commission rates:

AttainmentCommission RateMultiplier
0-80%Standard rate1.0x
80-100%Standard rate1.0x
100-120%Accelerated1.5x
120-150%Super accelerated2.0x
150%+President's Club2.5x

SPIF Design Principles

Short-term incentives (SPIFs) should be:

  • Time-bound: 2-4 weeks maximum
  • Simple: One metric, one reward
  • Meaningful: Worth at least $500-1,000
  • Strategic: Aligned with current business priority

Common Comp Plan Mistakes

  1. Too many metrics (keep it to 2-3 max)
  2. Caps on earnings (top performers leave)
  3. Clawbacks on churned deals (kills morale)
  4. Changing plans mid-year (destroys trust)
  5. Same plan for all roles (different roles need different incentives)

From the LeadFinder Sales Team — track team performance and pipeline metrics in real-time.

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