Interactive ToolFree tool

Sales Compensation Modeler

Model OTE structures, see the impact on rep economics and team cost, and understand the true price of turnover. Build comp plans that attract and retain top performers.

Compensation Model

Plan Structure

On-Target Earnings (OTE)

Total target compensation (base + variable at 100% attainment)

Annual Quota

Base / Variable split: 60% base / 40% variable

40% base80% base

Higher variable = more pay-for-performance risk on reps

Team Size

Number of reps

Avg. time to fill open seat (months)

Average quota attainment: 70%

40%120%

Industry median: 60-70% of reps hit quota

Annual turnover rate: 25%

0%60%

Fully loaded cost multiplier: 1.30x

1.15x1.50x

Includes benefits, taxes, and overhead. US average: 1.30-1.40

Ramp & Onboarding

Ramp period (months)

Ramp quota relief: 50%

0%100%

Reps carry reduced quota during ramp

Takes 30 seconds

Methodology

Fully loaded cost: Applies your selected payroll multiplier (1.30x) to total comp for benefits, taxes, and overhead.
Turnover cost: Combines vacancy revenue loss, ramp-period salary, and an estimated 30% of base salary for recruiting.
Payback period: Months of rep production needed to recover their fully loaded compensation cost.

These projections are directional estimates, not financial forecasts. Actual results depend on deal mix, market conditions, and individual performance.

What makes a healthy comp plan?

Quota-to-OTE ratio between 4-6x

Cost of revenue below 20% for SaaS, below 30% for services

Base/variable split aligned to sales cycle complexity

Ramp plans that protect new hires without over-subsidizing

Turnover rate under 20% annually

Payback period under 8 months per rep

Clear accelerators above 100% attainment

Clawback and floor provisions to manage risk

Need help restructuring your comp plan?

Our AI sprints model, test, and implement compensation structures that reduce cost of revenue and improve retention.

See AI Sprints