"Be commission," also known as "to be on commission," is a phrase used to describe a form of employment or compensation structure in which an individual is paid based on the sales or transactions they generate. It typically applies to salespersons or agents who earn a percentage or a fixed amount of money for each sale they make.
When someone "is on commission," it means that their income is directly tied to their performance and their ability to generate sales. Instead of receiving a fixed salary, individuals earn a commission or a percentage of the revenue they bring in. This incentivizes the person to be proactive and motivates them to meet or exceed sales targets, as their earnings are directly linked to their sales performance.
Being on commission often involves having sales targets or quotas to meet. The specific commission rate or structure can vary depending on the industry, company, or type of product being sold. Some commission structures include a tiered system, where the percentage or amount earned increases as the salesperson's performance improves.
This model can be beneficial for both the employer and the employee. For the employer, it allows them to incentivize sales and minimize overhead costs by paying employees based on their actual sales performance. For the employee, it offers the potential for higher earnings if they are successful in generating sales, providing a direct correlation between effort and financial reward.
In summary, to "be on commission" refers to an employment arrangement where an individual's income is based on the sales or transactions they contribute to, motivating them to generate revenue and meet specific sales targets.
