Quota-Based Commission Schedules in OneWorld

A quota-based schedule for a subsidiary that has child subsidiaries includes the transactions from those child subsidiaries in the quota amount used for commission.

For example, if your company has the following subsidiary hierarchy:

If you establish a quota for the U.S. parent subsidiary and for Wolfe U.K.:

Sales made for the U.S., U.K., or Germany subsidiaries are included toward the U.S. quota.
The U.K. quota would include only sales made on behalf of the U.K. subsidiary.

Following this example, a rep is assigned a commission plan with a schedule that is associated with the U.S. subsidiary. This schedule pays 10% of all sales exceeding quota.

The rep has a quota of $3000 for this period, and makes the following sales:

Transaction	Subsidiary	Currency	Amount	Rate	Amount in USD
Invoice 1	U.S.	USD	$1000	U.S. to U.S.: 1	$1000
Invoice 2	U.K.	GBP	£1000	U.K. to U.S.: 2	$2000
Invoice 3	CAN	CAD	$1000	CAN to U.S.: .5	$500

The rep exceeded quota by $500 and receives a commission payout equal to 10% of $500, or $50 USD.

Note:

If changes are made to the consolidated exchange rates, the commission schedule must be recalculated.

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