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The Best Compensation Plan

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8/3/2019 Compensation Matrix

http://slidepdf.com/reader/full/compensation-matrix 1/23

The Best Compensation Plan

8/3/2019 Compensation Matrix

http://slidepdf.com/reader/full/compensation-matrix 2/23

Dr. Charles King… 

• He has a doctorate in businessfrom Harvard

• Marketing professor at theUniversity of Illinois

• A strategic planning consultant

• 25 years of research in

entrepreneurial ventures

• An expert on the networkmarketing industry

 A Venture Expert’s Advice 

www.neverbedownsized.com 

8/3/2019 Compensation Matrix

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Look at the sales history: 

Is the company in rapidgrowth, or has it reached a

plateau?• NSE Experiencing Record

Growth

Is it successfully creating new

products and diversifying?• Scanner; LifePak nano;

Galvanic Spa II; TFE Ultraand now… ageLOCTechnology – Game Over!

What do we need to know about the Company?

8/3/2019 Compensation Matrix

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The company should be:

Financially stable, and ideally,debt free

• NSE Assets: $700 mill; 5A-1D&B

A track record of three to fiveyears’ operation 

• NSE 25 Years of SuccessMember of the Direct Selling

Association (DSA) withoutcurrent regulatory problems.

• Our Founder past PresidentWSA

What do we need to know about the Company?

8/3/2019 Compensation Matrix

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On compensation:

The ideal plan allows you torecruit as many people as

you can onto your front line.• NSE: Unlimited Sponsoring

12 or more = Freedom! 

Better plans also pay

commissions on five ormore levels; Each additionallevel can geometricallyincrease your income

• NSE Pays on 6 Generations

What do we need to know about the Company?

8/3/2019 Compensation Matrix

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Thousands of companies havecome and gone in the past 20years.

The failures happen because ofweak products, weakmanagement, and not enoughcapital.

• Same reasons 95% of“conventional” companies

fail in first 5 years!

What do we need to know about the Company?

8/3/2019 Compensation Matrix

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  OVER 4100 COMPANIES HAVE COME AND GONE There are 202 companies currently listed with the Direct Selling Association

152 are Multi-level Compensations 

Nu Skin 

Forever Living

Herbalife

Amway

Excel*

NSE Has Produced More Millionaires than

any other Company in our Industry!

Only 4 of 29 Annual Revenue’s over 1Billion

All are Matrix Compensation – Not BinaryACN

Arbonne

Amway

Forever Living

Herbalife

MannatechMelaleuca

NSA

Nature’s Sunshine

New Vision Int’l 

Nikken

Noevir Nu Skin

Pre-Paid Legal

Primerica 

Shaklee

Sunrider  Usana WMA Xango

*Cambridge**Equinox*

*Excel*

*Matol*

*Morinda(Noni)*

*Quorum

* Rexall*Sky Biz

*United Science Of America * 9 Red are no longer in business 

29 Companies Annual Revenue 100 Million+ 

8/3/2019 Compensation Matrix

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Uni-level?

 Your Block of Volume

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Tip of the IcebergUni-level?

8/3/2019 Compensation Matrix

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 Your Block of Volume

Binary?

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Binary?

Peak of the Iceberg?

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G1

G2

G3

G4

G5

G6

Executive

CircleGroup 9% - 25%Executive Circle

Group(Unlimited Levelsdown to 1st Exec)

5% up to 6Executive

Generations

 Access More Volume

Breakaway!

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5%

1st level (L1)

9% – 25%Entire Circle

Group

5%

Up to 6Executive

Generations

Mega

PerformanceBonus Pool

G1

G2

G3

G4

G5

G6

CircleGroup

Gross Retail Profit(GRP)

5%

1st level (L1)

Gross Retail Profit(GRP)

GRPDistributor ExecutiveThe Whole Iceberg!

8/3/2019 Compensation Matrix

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TESTYou

MEGA

Bonus Pool

30% Retail5% on

First level

Where the Money Comes From1

Distributor(Q-Exec)

8/3/2019 Compensation Matrix

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Month 1 Month 2 Month 3 Month 4

Personal SalesVolume (PSV) 

Group SalesVolume (GSV) 

Qualifying Period Executive(Maintenance)

100

1,000

100ADR

3,000*2,000

100ADR

1,500

*can be maintained at 2000 GSV earning only2.5% vs. 5% on Executive Breakaway Bonuses

Become an Executive

100ADR

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5% 5% 5% 5% 5% 5%

5% 5% 5% 5% 5%

5% 5% 5% 5%

5% 5% 5%

5% 5%

5%

30%

$95,000

3

Duplicate Leadership

(Executives)TEST

TEST

TEST

You =EX

1 1282 4 6Blue

DiamondDiamond EmeraldRubyLapisGold

$4,000

2

Executive(Help Others Qualify)

MEGA

Bonus Pool

TEST

TEST

TEST

You =EX

GROUP

9-25% on

Entire Group

Where the Money Comes From

Up to $1,000

TESTYou

MEGA

Bonus Pool

30% Retail

5% onFirst level

1

Distributor

(Q-Exec)

$100,000 Check

8/3/2019 Compensation Matrix

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*can be maintained at 2000 GSV earning only2.5% vs. 5% on Executive Breakaway Bonuses

Wealth Maximizer

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Business Builder Package - $1,425 

ageLOC Spa Pkg - $285/$350 

$50

FSP

$250

FSP

Gross Retail Profit (GRP)

Weekly Pay

Must be on “Direct Deposit” to receive GRP on a weekly basis 

8/3/2019 Compensation Matrix

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Mega Performance Bonus Pool

Earn a prorated share(points) in 1.5% of the totalAmerica’s and Europe

monthly commissionablesales!

All Qualifying Executives and Executives 

can earn points!

1.5%

Total Sales

8/3/2019 Compensation Matrix

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Month 1 Month 2 Month 3 Month 4

Personal SalesVolume (PSV) 

Group SalesVolume (GSV) 

Qualifying Period Executive(Maintenance)

100

1,000

100ADR

3,000*2,000

100ADR

1,500

*can be maintained at 2000 GSV earning only2.5% vs. 5% on Executive Breakaway Bonuses

How You Earn Points

100ADR

8/3/2019 Compensation Matrix

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$6 Billion Paid in Commissions Since Inception The average commission paid to U.S. Active Distributors each month was $118.50, or $1,421.75 on anannualized basis. In 2008, the average monthly commission paid to U.S. Active Distributors who earned acommission check was $814.50, or $9,774.00 on an annualized basis. Note that these figures do not represent adistributor’s profit, as they do not consider expenses incurred by a distributor in the promotion of his/her business

and do not include retail markup income. On a monthly basis, an average of 14.11% of U.S. Active Distributorsearned a commission check. Active Distributors represented an average of 40.71% of total distributors.

If you have any questions concerning this information, please contact the company at (800) 487-1000. Thisnumber is calculated by addi ng the average percentage of Active Distributors in the above table. This percentageis obtained by taking the total average of monthly actives and divi ding it by the total average of Distributors on amonthly basis. “Total Distributors” includes all U.S. Distributor accounts currently on file, irrespective of their 

purchasing products, promotional materials or services or earning commissions. “Distributor” numbers do not

include customer or Preferred Customer accounts.

Title  Monthly  Average Commission Income at

Each Level for 2008  AnnualizedCommissions

 Average Percentageof Active

Distributors  Average Percentage of Executive-and-above

level distributors 

 Active Distributor Earning a Check (Non-Executive) $62.00  $744.00  7.89%  N/A% 

Qualifying Executive  228.00  2,736.00  1.29  N/A  Executive  441.00  5,292.00  2.96  59.9 Gold Executive 800.00  9,600.00  .93  18.9 Lapis Executive  1,405.00  16,860.00  .53  10.8 Ruby Executive  2,860.00  34,320.00  .19  3.8 Emerald Executive  5,634.00  67,608.00  .09  1.8 Diamond Executive  9,520.00  114,240.00  .08  1.7 Blue Diamond Executive  42,710.00 512,520.00  .15  3.1 

8/3/2019 Compensation Matrix

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How to create a $3,000 Residual Income?Create 60,000 per month in volume at 5%

= $3,000/month passive income

You = ExecLevel 1 = 4 Execs

Level 2 = 6 ExecsLevel 3 = 10 Execs

Total = 20 Executives

20 Execs X $3000 GV = $60,000 X 5% = $3,000/monthNow, get ready for Exponential Growth!!!

What if your 20 Executives doubled every 4 months?12 months later: 20-40-80-160 Execs = $24,000/month

8/3/2019 Compensation Matrix

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Road to the Top

The Goal:

7 12118 9 101 652 3 4Blue

DiamondDiamondEmeraldRubyLapisGold

12 Executive “Legs” 

The more leaders you develop,the more overrides you earn… 

With 12 leaders you’re at

the top of the compensationplan, after which you get

paid double on all new legs. 

151413TeamElite

Paid 2times>>

Ultimate Goal:

Team Elite Trip

15 Executive “Legs” 

Baltic

Cruise 2009

Maui 2010

And 15 legs gets you a…