Comish Capping

So working on a large deal that would hit 200% of my annual quota. Only ever had this happen once before in a over 10 years of sales that time I got capped to 100% of my quota (I'd already done 50%). Is this common?



Ever been capped?

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20
sahil
Notable Contributor
24
Deepak Chopra of Sales
That's bullshit.ย 
SADNES5
Politicker
3
down voters are marketing spies
๐Ÿ’ฏ. If you can bring more money into the company, you should be rewarded.ย 
goose
Politicker
0
Sales Executive
In time, yes. ย Company won't take the risk though.
sketchysales
Politicker
1
Sales Manager
I just won the biggest deal of the company in 10 years and my commission was capped.ย  My manager increased my salary just before closing it (probably knowing I would do it) and is using that as an excuse to not pay me full commission on the deal.ย  This deal will go on to do around $600-700k annually for as long as we keep the client.ย  Our average client tenure is over 10 years.ย  Needless to say, I am leaving.
GrindingSales
Politicker
0
Account Executive
Can you take the account with you?ย 
sketchysales
Politicker
1
Sales Manager
Im moving industries.ย  Otherwise i would do.ย  Though the business we do not all our competition is set up to handle it.ย  Ah well.
SADNES5
Politicker
1
down voters are marketing spies
I wish I could DM you... I think we are in similar industries. Similar areas (where you're moving to)
sketchysales
Politicker
1
Sales Manager
Feature missing on here!
CaneWolf
Politicker
4
Call me what you want, just sign the damn contract
To clarify, it's not happening again, right? Because that's bullshit. Big game hunters should get big game pay.

I'm theoretically capped in this role (unique role, knew it coming in) but we also can do whatever the fuck we want once quota is achieved.
CorpBroette
Executive
0
New Business Account Executive
I'll (hopefully) let you know in July.ย  - Due to close this week (but never celebrate early) the it'll be under review for 6 weeks.
CaneWolf
Politicker
1
Call me what you want, just sign the damn contract
I would HIGHLY recommend you get clarification now and get it in writing. Otherwise the company has all the leverage to fuck you over post sale.
CorpBroette
Executive
0
New Business Account Executive
Thanks @CaneWolfย the clarification I received is they reserve the ability to Cap any single deal that is bigger that 70% of annual quota but no firm rules on how they do it.ย  That's why it is going to a 6 week review. So yep I'm already getting the lube ready.ย  Just wondered if everywhere did this.
CorpBroette
Executive
0
New Business Account Executive
For Clarity all other deals I do after this I'll still get commish on (at a lower rate as once you're at 200% quota the rate decreases).ย  I just wont get paid full value on this deal.
CaneWolf
Politicker
0
Call me what you want, just sign the damn contract
This is insane. Come ready to brawl.
goose
Politicker
0
Sales Executive
Can you hit escalators? ย If not, move on.
ARRyouReadyKids
Politicker
1
Enterprise Account Executive
I think you have some leverage here to ask for more money. Your company wants and probably NEEDS the deal to close

Or if you're really fed up with the company, maybe start looking for a new job and then hold that deal as leverage saying you'll only close it if they agree to pay you fairly.
You're gonna burn some bridges if you go that route obviously, but also they're taking advantage of you
WenWest15
Valued Contributor
1
Principal Business Development Manager
I was never capped, but I was required to split commission with my manager early in my career so she could "guide the process". I quit after 30 days, and when the VP found out he fired my manager and promoted me. It was all really weird and shady, but I ended up loving that company and stayed for 10 years.ย 
Allisce
Tycoon
1
Account Executive
spilt commish with your manager ouch.ย 
WenWest15
Valued Contributor
0
Principal Business Development Manager
Yeah.... kind of soured that relationship...lol
GlenRoss
Politicker
1
Account Executive
I did a deal that was 2x and didnโ€™t get capped. And seen people do 3x their quarter and not get capped. Thatโ€™s terrible of the company to do
NorthernSalesGuru
Politicker
1
Manager, Outbound Sales
Pure and utter bullshit.ย 

However, Iโ€™ve seen it at one too many organizations.ย 

Itโ€™s truly unfortunate.
softwarebro
Politicker
1
Sales Director
comish caps are LAME.
TheVeteran
Executive
1
Enterprise Account Executive
I've been capped on a large deal but never at 100% of quota. Put the deal size on your resume and go get another job.ย 

Also any capping period is ridiculous. The company makes an exorbitant amount of money on the deal you worked....you should get your rightful cut for the hard work. This is shameful
CuriousFox
WR Officer
0
๐ŸฆŠ
No this is NOT common.ย 
Lambda
Tycoon
0
Sales Consultant
yea seems a bit BS to me
ChunkyButters
Tycoon
0
AE
Yea, no. Fuck that.

I've never been in a position to have a massive deal get me 200%, but I would not expect to be capped. In the last three positions I've held, it specifically says "commissions are uncapped". I have accelerators for over 100% too.

By capping your comp, they're incentivizing you to sandbag your deals till next year or just not work. If I hit 200% and was told my comp was capped, I'd consider the rest of my year a paid vacation.

You seen the episode of The Office where Jim get's capped?ย 
CorpBroette
Executive
0
New Business Account Executive
Yeh, all the companies I've worked in sales for approx 5 have said "uncapped*". there is always a "*[Company] reserves the right to amend commission payments/structures should the need to" somewhere though but I've only ever seen it actually happen at one other company.
LordOfWar
Tycoon
0
Blow it up
Talk to an employment lawyer about this. Yes, they can amend comp structure at any time, but they can't do it just because a whale is about to be caught and they want to hold back your earnings for themselves.

Find a cheap or free employment lawyer (or student) and get some professional advice. A nicely worded letter in your back pocket can go a long way with uneducated/greedy employers.
Hannibal
Opinionated
0
Senior Account Executive
Total Fucking BS - was this on your comp plan?
CorpBroette
Executive
0
New Business Account Executive
Yeh, all the companies I've worked in sales for approx 5 have said "uncapped*". there is always a "*[Company] reserves the right to amend commission payments/structures should the need to" somewhere though but I've only ever seen it actually happen at one other company.
YOTPO
Fire Starter
0
Account Executive
If the comp plan says the commission is uncapped then it shouldn't matter the size of the deal. I'd love to hear the reasoning behind cutting someone off at the knees like that after they landed a huge deal.ย 
MrMoneybags
Big Shot
0
Account Executive
Ask for that extra starbucks gift card to close it!
Chep
WR Officer
0
Bitcoin Adoption Specialist
I would leave that is so ridiculous unless the company is going to revenue cap and start refusing business because they met quota
funcoupons
WR Officer
0
๐Ÿ‘‘
Nope and would never work anywhere with capped commission.
MatyHoo
Good Citizen
0
Manager of Business Development
Capping comms is the dumbest thing to ever happen in sales. I still just don't get it. I don't cap my team. Eat what you kill
goose
Politicker
0
Sales Executive
I've seen blockbuster deals capped for sure. ย Also, I've seen commission paid in installments over time. ย Company needs to make sure profit is there over time. ย If a rep leaves and the client churns then the company is on the hook for the commission.
Allisce
Tycoon
0
Account Executive
won't deal with capping, if I can bring in the big dollars they should still be able to pay me my piece just like it was a smaller deal
beerisforclosers
Politicker
0
Account Manager
I haven't seen anyone get capped, but I have seen their quota be "readjusted"... not good either way
braintank
Politicker
0
Enterprise Account Executive
Run away and don't look back
Kanyebut4sales
WR Lieutenant
0
Account Executive
the dumbest idea for companies to do
Coffeesforclosers
Notable Contributor
0
Director Sales and Market Development
No cap ever, total shit
kelun8
Politicker
0
AE
Companies would be stupid and probably not in their best interest to cap
BossBitch
Politicker
0
Account Executive
I'm worried in going to get capped on a big deal I'm working as well. Will put me at about 200% as well and I'm not confident I'll get paid out fairly. Will know in July as well ๐Ÿ˜ฌ
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