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ashleyjea1985

what does " Start @ $700 weekly draw vs. commission" mean?

ashleyjea1985

what does " Start @ $700 weekly draw vs. commission" mean?

memaw66

Sounds like they will pay you $700 up front and then turn around and take it out of your commission??? Something like that.

FUNinTHEsun

at the car dealership i work at the sales managers get paid like this...

they will pay a "draw" of say $700 a week, this does not include any commission and is sort of like an advancement on commission that u will make

then, at the end of the month, all of ur commission is calculated and u r paid the difference of ur commision minus all of ur weekly draws...hopefully ur commissions total a larger amount than the draws!

not sure if all draw vs. commission positions pay this same way

Catherinex

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Catherinex

just read this on a forum may make more sense;

Some jobs that you work, commission based, will give you a guaranteed paycheck for times that you don't make a commission. This is drawn off of your commissions the next time you earn them.

IE: Say one week you have no sales, they might give you a check of $250 anyway, or whatever the guaranteed amount.

The following week, you have several sales and earn commission totalling $750, they then subtract the amount they paid you the prior week that you didn't earn a commission so you would get a paycheck of only $500.

leshik21

It means that you will get $700 per week BUT you if you don't earn the $700 in base + commission, you will owe the money back. What is the base salary? Most of the commercial sales reps I hire are on a "draw" basis, so I am very familiar with it. The info you need to know is; base salary, commission %, and when do you reconcile your draw (meaning when do you settle up?)

Hope that helps!

erin83070

My husband has a draw on his commission for expenses, that sort of thing. He has a base salary that is separate.. which is the way we like it.

A draw on commission is not a good way to get paid. You are guaranteed $700 a week but you essentially have to pay it back with your commission.

ie: If you draw $700 for pay but only make $500 in commission, you receive no commission and it's usually carried over until next pay and if you have a bad month, you can wind up in a deficit position..not good depending on how they handle such a circumstance. Try to negtiate for a base salary. It will be significantly lower than the draw, but it will be money earned instaed of potentially running a loss and the stress that goes with it.