Welcome to DAY 13 of 29 Days of the Young Living Business Series. Each day in February, I'll post a business tip to help you get started sharing these amazing products and growing your business.
DAY 13: THE COMPENSATION PLAN
Let’s get into the compensation plan! This is where it gets good. So now you know how to use the products, how to share with others, how to sign someone up, and how to teach a class, you’re well on your way to building a successful business with Young Living. Here is where you get PAID. We want to MAXIMIZE your paycheck with Young Living each month and this section will teach you how. We’re only going to be talking about the comp plan UP until you reach SILVER rank. We can take another look at the comp plan when you’re all closer to Silver.
The RANKS: Every month your rank resets to zero. Each month you have to earn your rank. Each rank has qualifications. Here are the ranks:
Distributor: 50 PV
Star: 100 PV | 500 OGV
Senior Star: 100 PV | 2,000 OGV
Executive: 100 PV | 4,000 OGV | 2 legs at 1,000 OGV
Silver: 100 PV | 10,000 OGV | 2 legs at 4,000 OGV | 1,000 PGV
Wherever you fall right now, WORK towards your next rank. Only focus on that next rank.
The QUALIFICATIONS: In order to earn a commission from Young Living, you’re required to purchase a certain amount of product each month. This is where Essential Rewards comes into play. I want you to get THE MOST out of your commission, and ER will save you money. If you CANNOT commit to purchasing product every month, you shouldn’t be in this business. I would STILL purchase from Young Living every month whether or not I was working this as a business, because I love the products. It’s hard to share products you don’t use or love, right? You can easily MAKE BACK your investment each month by enrolling just TWO people each month. This post will show you how.
CUSTOMER COMMISSIONS: This is where you earn money on Retail Customers (remember those customers who didn’t want to save 24% and purchase a PSK?). You earn 24% on these orders. For instance, you have a retail customer who orders a product for $48. You earn $11.52 on that order.
NEW MEMBER BONUSES: If you’re just starting out, this is where you’ll make the most money and where you want to focus your efforts.
Let's see these in action. When you enroll a new member with the PSK (100 PV), you’ll earn the one-time START LIVING BONUS of $25, PLUS the FAST START BONUS of 25% of their PV, which is another $25 for a TOTAL OF $50. So for each member you enroll with JUST a Premium Starter Kit, you’ll earn $50. If they order additional products, you’ll earn more. If they order again within 3 months, you’ll earn 25% of their orders. More $$ in your pocket! So it's crucial to educate your members about Young Living's other products they want to be using such as the Thieves Line, NingXia Red and other nutritional supplements. YL Products are CONSUMABLE so members order frequently when they run out.
UNILEVEL COMMISSIONS: This is the main type of commission you’ll need to understand right now. These are commissions you earn while you’re JUST getting started. This commission is a SPONSOR-based commission. For this, you’ll need to understand the STRUCTURE of your business and the LEVELS. It’s easier to explain with photos, so please take a look at structure below. Your PERSONALLY SPONSORED members are your LEVEL 1. Their personally sponsored members are your LEVEL 2, and so on. For anyone on your LEVEL 1 you earn 8% of their PV. For anyone on your LEVEL 2 you earn 5% of their PV. And anyone on your LEVEL 3-5 you earn 4% of their PV. You can view your organization in your Virtual Office, under MY ORGANIZATION, and under DOWNLINE VIEWER. This viewer will show you what level the person is.
COMPRESSION: Young Living’s comp plan has a unique feature called compression. This occurs when a member in your downline fails to place an order of 50 PV during the month. Their members, up to and including the first qualifying member, roll-up to be on the same level as the member who did not place a qualifying order. For example, Susie is your LEVEL 1 and she only placed a 30 PV order. She does NOT qualify for commission. Matt on your LEVEL 2, under Susie, placed a 150 PV order. Because of Compression, Matt will roll-up to be your LEVEL 1 so instead of earning 5% on his order, you’ll earn 8%! Pretty awesome, right?
The RISING STAR TEAM BONUS: This is a behavior-driven bonus. To be successful in this business, you have to love the products and you have to love to share and teach others to share (AKA Duplication)! If you enroll 2 people each month, you’ll have a team of 25 members by the end of the year (including you). If you enroll JUST 1 person each month and then TEACH every new member (by way of duplication) to enroll JUST 1 person each month, you’ll have a team of 4,096 members by the end of the year. MUCH larger team than 25, right? That’s the power of duplication and compounding. This bonus is given to those that are helping to teach others to share and be rewarded as well.
ONLY Stars, Senior Stars, and Executive ranks qualify for this bonus.
You can ONLY earn this Rising Start Team Bonus for 24 months. So again, it’s setting you up perfectly to achieve the next rank so you’re well on your way to Silver!
Tomorrow we’ll talk about creating a foundation and placement. If you have any questions on the compensation plan, please let me know! Here is the comp plan and income disclosure statement.
Comp Plan Videos from Monique McLean
Member Resources in your Virtual Office also has Comp Plan Videos if you look under "Compensation Plan".
25 year old entrepreneur, veggie, essential oil enthusiast, wellness stylist, graphic designer/marketing pro who is enthralled by adventure and opportunity.