TheColdCaller profile picture
TheColdCaller profile picture

TheColdCaller

Sales Manager

Opinionated
Member
Good Citizen
+2

How big of a pay cut did you guys take for your next sales role to improve potential down the road?

I am looking for some advice here. For those of you that have been in the same role for 5+ years, built a good pipeline, commission, etc., but in order to achieve better income down the road you need to change companies. It seems like no matter what I do or industry I go into I'll have to take a pay cut for at least 1-2 years before building a book of business. What should be the timeline to get back to breakeven? How big of a pay cut did you take? From my point of view that number is around 20%-30% cut for about 1.5 years. Or are most people in this community not having to sacrifice anything?

๐Ÿ’ฐ Compensation
15

21 comment

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braintank
Politicker
4
Enterprise Account Executive
Why do you have to take a pay cut?
jefe
Arsonist
1
๐Ÿ
Seriously. Like during ramp, sure. But 1-2 years!?
TheColdCaller
Opinionated
0
Sales Manager
See my updated reply in the thead and lmk
Beans
Big Shot
4
Enterprise Account Executive
I have never done this.
CuriousFox
WR Officer
3
๐ŸฆŠ
Pay cut in salary? Or are you talking ramp time for commish?
TheColdCaller
Opinionated
0
Sales Manager
My base salary would double. Pay cut in in total compensation because I would need to build pipeline.
Diablo
Politicker
2
Sr. AE
No never, why would you do that
Space_Ghost20
Valued Contributor
2
Account Executive
The only time in my career I ever took a pay cut was for my current job, and it was because I was laid off and didn't have any alternatives.
Phillip_J_Fry
Opinionated
1
Director of Revenue
Company I was at got hacked and it made national news. Made it near impossible to sell anything, and I took a pay cut to get out of there, as I knew I'd only be making base salary for at least a year while people forgot about the hack.
Sunbunny31
Politicker
1
Sr Sales Executive ๐Ÿฐ
Sorry, did not do this. Upward!
oldcloser
Arsonist
1
๐Ÿ’€
Having much trouble subscribing to this. Your time in the seat is gold and someone will pay you for it.
Hitthabricks
Executive
1
Enterprise Account Executive
Iโ€™ve done that before and it paid off. That said, it took 3+ years to make the money I was making in previous industry/role. It was a 30% cut but the equity at the new company made up for it. I was very lucky though. Also, this economy is rough so Iโ€™d be cautious about moving right now.
TheColdCaller
Opinionated
0
Sales Manager
Thank you for sharing.
Avon
Politicker
1
Senior Account Executive
I took about a 5% pay cut to get a low paying AE job after being an overpaid BDR at a company that had a hiring/promotion freeze during covid.
100% worth it because it got me the closing experience. 14 months after I was making 30% more, 9 months after that I got promoted and received a 25% raise.
AnchorPoint
Politicker
0
Business Coach
For a 1-2 year commitment, the payoff has to be huge.
GDO
Politicker
0
BDM
why take a cut?
TheColdCaller
Opinionated
0
Sales Manager
My base would double, but at this point it is irrelevent because I have built a big book of business. I could probably get close to doubling my OTE in 3-5 years. The way I see it I will have leave someday!
ZachBlide
Opinionated
0
AE
If itโ€™s base salary: Iโ€™d never agree to a cut. Justifying lower salary on promise of growth just sounds like some slimy recruiter/sales manager technique to get you on board.

During ramp, for sure youโ€™ll take a hit. But 1.5 years is too long. The longer in the future the promise of something the less likely it is to happen (organisations change too quickly etc).

If be expecting the organisation to give some guaranteed earnings if they are seriously saying the ramp could take 1-2 years. Itโ€™s not reasonable to expect someone to hold out that long

Personally, I would avoid organisations where the ramp could be 2 years. Ramping sucks.
TheColdCaller
Opinionated
0
Sales Manager
Update: To help you all understand my situation. My current organization I will probably never be able to achieve over 170k. I am at about 150k expected next year. My base is super low at 50k. The role I am looking for is 100k base. Reps that are there for 3-5 years make between 200k-400k. Year 1 is rough at around 125k, 2 is 150kish, and then takes off. (rough estimate). And I have done my digging and this is accurate.
TheColdCaller
Opinionated
0
Sales Manager
And at this stage base is irrelevant because I have built a large book of reoccurring business in my role I am in now
pirate
Big Shot
0
๐Ÿฆœโ˜ ๏ธ Account Executive
10k pay cut because I burned bridges and got myself in trouble and was bullied and left without anything as back up. Took me about a year to get back to my earning levels

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