Hacker News new | ask | show | jobs
by DEF14A 880 days ago
I'm a rep at a big SaaS firm - no one says "OTC", whatever that is. It's OTE. Also, literally no sales org would ever weight an AE's comp more towards base and a VP's comp more towards variable - everyone is on a 50/50 split, and if anything the VP would have more guaranteed comp. No discussion of RSUs or options? Furthermore, I have never in my life seen a plan that withholds the final quintile of variable comp - that sounds horrifying and no experienced, high-quality rep would work at a place like that.

Jason Lemkin's blogposts and videos on sales compensation are way more accurate than this.

2 comments

Agreed on all points.

> I have never in my life seen a plan that withholds the final quintile of variable comp

They might be on a draw. Otherwise, agreed - highly unusual.

At Transifex, we always did a 50/50 split. But I've noticed it's not atypical at all for small SaaS firms, who are starting to sell, to weigh an AE's comp towards Base. Especially for more junior people. I've noticed the same for profitable, organically-grown firms that are not as aggressive as well-funded startups.

Regarding the term On-Target Commission, what is the term you've seen used? Because OTE means "Commission at 100% + Base Salary".