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Comp Plan Basics

Compensation Plan (Comp Plan)

The documented rules for how a rep earns pay — quota, rate, accelerators, crediting, and payout timing in one place.

If a rep can't explain their own plan back to you in two sentences, the plan is too complicated.

See it on your own numbers

The free comp benchmark calculator turns terms like this one into a concrete OTE, quota, and commission structure for your role, ACV, and stage.

More in Comp Plan Basics

  • OTE (On-Target Earnings)

    Total pay a rep earns at 100% quota attainment — base plus variable combined.

  • Base Salary

    The fixed portion of pay, guaranteed regardless of performance.

  • Variable Pay

    The performance-tied portion of pay, usually expressed as a commission rate against closed revenue or activity.