Commission Based Pay?

Question

Hey guys! Wondering if anyone here has experience with paying employees commission instead of hourly. How is that working for you guys? How do you have it set up to where you’re making the profit you need and the employee is happy and motivated to work hard? At what percentage do you pay? Thanks!

judithvirag · Answer

Some cleaning companies do pay a percentage of the jobs.&nbsp; They have great success with it.&nbsp; It is a tier program with 3 stages of percentages depending on how long the employee worked and how good they are.&nbsp; It seems to work out well.&nbsp;&nbsp;

benjiboy16 · Answer

I do 20% depends on the situation. If it’s a big or small job. If its window washing the margins work for my guys!

sethbetta · Answer

how would you do landscaping?

sam · Answer

Our technicians are on commission/performance pay. This has worked very well as it has incentivized the right behavior – get s&amp;#t done. We manage with quality control checks. Now our staff feels like they "own" the job and get a piece of the pie. I recommend keeping your total labor percentage below 25% of the job if you can do so. HOURLY = GET PAID TO WORK SLOW.&nbsp;

calebr · Answer

A consistent salary has been working very well for us! A set price for each scheduled work is pretty good motivation to get the job done quick and when we get absolutely washed out with the weather, they still get paid for that day knowing that the work will have to be squeezed back into the schedule later. Of course bonuses and raises at appropriate times keeps the morale up too.