Plan in Action      Legal Ease     ALTS  FY07 Hawaii     Diamond Forum & Emerald Plus  Colorado


 
In the previous issue, we discussed personal volume and how it is calculated as part of the Performance Commission. In this article, we will explore the other part of the Performance Commission, where income is generated through developing a group.

Group Volume, Pass-Up and Differential

Group volume is the total of an IBO's personal volume and the personal volume of all non-21% downline PV/BV accumulated through 'pass-up'. Passup rewards IBOs who sponsor, train and continue to support IBOs within their group. Pass-up creates a dual incentive to personally sell products and encourage and support downline IBOs to do the same. The Performance Commission is paid on both personal and group volume.

  The diagram below shows how group volume accumulates
  through pass-up and how differential can be earned:

  A earns from B 3% Differential (15% - 12%) = 2400 Gpv x 12.07 x 3% = 869.04

  A earns from C 9% Differential (15% - 6%) = 1000 Gpv x 12.07 x 9% = 1086.30

  B earns from D 9% Differential (12% - 3%) = 500Gpv x 12.07 x 9% = 543.15

  B earns from E 6% Differential (12% - 6%) = 600Gpv x 12.07 x 6% = 434.52

  Please also refer Amagram ALTS Hawaii

If an IBO qualifies for a Performance Commission, they will receive income on all of their personal volume, and may also earn 'differential'. Differential is calculated by an IBO on the volume of frontline IBO that has fallen into a lesser performance commission percentage than the percentage level achieved by the sponsoring IBO. For example, if you achieve 21% during the month and a frontline IBO achieves 15%, the differential you will earn will be 6% of that frontline group BV. By ensuring you are at a higher performance bonus level than your frontline, you will be rewarded with the differential between your performance bonus level and your frontline.

The AMWAY Sales and Marketing Plan has gained respect around the world as one of the most equitable models of generating and sharing income. Understanding how you earn income from sponsoring and developing others by motivating and supporting them will assist your business to grow.