1. Active = Eligible to earn commissions in the current month based on meeting the PV requirement at each rank.
Personal Volume (PV) - Items sold to Retail Customers and samples purchased during the commission month. Credits are non-commissionable and do NOT count towards PV.
2. Monthly commission payouts occur on the 15th of every month.
3. Payout is based on Commissionable Volume (CV), which equals 70% of samples and retail carousel sales.
Commissionable Volume (CV) - Each Piphany product or article is assigned commissionable volume, and the commissions you earn are based on this volume. Commissions are not earned on shipping, credits, replacements, sales tools, or clearance articles. CV is currently equal to 70% of sample prices and retail carousel prices (less discounts, shipping replacements, and clearance articles).
4. Active Leg Requirements are met through active legs or lines of sponsorship. Highest rank per leg is used to determine team structure, paid as rank and rank advancement.
5. Total Team Volume requirement (Total Articles) will include all volume through eligible levels (” Active” and“Inactive” volume).
Total Team Volume - The sum of your entire group’s purchased articles that count toward your monthly commissions requirement at each rank. All active and inactive articles will be counted at eligible levels. Credits are non-commissionable and do NOT count towards PV and so will not be counted in Total Team Volume.
6. There is one grace month per calendar year that may be elected where PV does not need to be met to qualify for compensation bonuses (on a case by case basis, a leave of absence may be granted for health and pregnancy considerations).
7. Team Level Bonuses ARE paid on “Actives” and “Inactive” (individuals that have not met their respective Personal Volume requirement).
8. Bonus Pool is based on 2% North America Commissionable Volume (CV) for given commission month.
9. Clearance Articles do not carry any Commissionable Volume(CV)
10.Credits are non-commissionable and do count towards Personal Volume or Team Volume.
11.Commissions are on Articles only (not shipping, credits,replacements, clearance articles, or sales tools).
12. Clawbacks for returns are charged against next commissions(including Upline Commissions).
13. Stylist Annual Fee – each stylist is required to pay annual Stylist Fee in amount of $199.00 (waived for 2018 for Stylist on record as of 03.31.2018).
14. Stylist Service Fee – Each stylist is required to pay monthly stylist service fee in amount of $29.00. The monthly service fee is waived for Advanced Stylist and above.
P!PHANY Leadership Bonus Plan versus a Example of Other Comp Plans