Unilevel Compensation Plans

In many ways, the unilevel comp plan is the easiest to understand and to explain, especially for new distributors. Like the stairstep breakaway plan, the unilevel plan allows you to sponsor as many distributors as you like, and you must place all of them on your frontline. However, rather than advancing and breaking away, everyone is paid the same commission rates. That’s where the term unilevel comes from – everyone is on the same level.

In a unilevel pay plan, you are paid a certain number of levels deep into your organization – usually 5 to 8 levels. Some plans require you to advance in rank before you can be paid on all levels, while some will increase your compensation as you advance. Unlike a stairstep plan, none of your downline will ever break away from you in a unilevel plan.

Unilevel Compensation Plan

Without the breakaway, there are some advantages of a unilevel compensation plan over a stairstep breakaway. First, by helping you downline, you will increase your commission (until you max out the number of levels you are paid on.) You never have your commission cut by working closely with your team since they won’t break away from you. Also, sideline team members can help one another without angering the upline. However, sideline team members are still competitors in a financial sense.

Many unilevel comp plans today have a hybrid element to them, meaning that they combine parts of other plans, especially as you advance in rank to the top. For example, if the top rank is diamond, all who reach diamond may be entitled to an extra 1% commission on ALL volume in their organization, down to the next diamond – just as in a stairstep breakaway. This can be a powerful incentive, especially since it pays beyond the 5 to 8 levels of the main part of the plan. However, this bonus is usually structured so that it is only paid to the top 1-2% of all distributors, so most people will never qualify for it.

Next: Forced Matrix Compensation Plans