Sales Compensation--Fair Play, Fair Pay

Because each business is different, no formula exists for developing compensation plans. For this article, Printing Impressions interviewed consultants, printers and salespeople to determine what constitutes "fair" sales compensation.

According to Terri Nagi, of Terry A. Nagi Associates, in Washington, salespeople are usually paid on draw against commission, which averages 6.5 percent to 7.5 percent of total sales for a sheetfed salesperson. Additionally, "expenses can amount to another 1 percent of total sales billed, and fringe benefits total another 1 percent," Nagi says.