Wages or Commissions? This 3-Step System Helps You Decide. When you offer salary and commission, you're motivating your sales team while minimizing the chances that they'll feel disgruntled and underpaid.

In my experience, the best plan includes a mix of both. When you offer salary and commission, you're motivating your sales team while minimizing the chances that they'll feel disgruntled and underpaid. But there's no one-mix-fits-all. To find the right system for your business, follow these steps:

Step 1: Look at how your industry works.

If most companies in your field follow one particular model, you may not have a choice. The best salespeople in the business will be used to that model; they'll expect it and likely won't work any other way.