Pay structure modelReviewed by Adroit Staffing editorial reviewPractice guidance, no data claims8 min read
The short answer
Base salary is contractual; OTE is conditional on hitting quota. The split between them describes how much risk the seller carries, so two packages with an identical OTE can be very different jobs. Publish both numbers: candidates compare OTE when applying and decline over base at offer stage.
Key facts
- Base
- Fixed and contractual
- OTE
- Base plus variable at 100% of quota
- The split describes
- How much risk sits with the seller
- Advert rule
- State both, and the split
Base versus OTE: the same package, two very different jobs
Base is what someone is paid to do the job. OTE is what they are paid if the job goes to plan. Candidates compare OTE and then leave over base, which is why the split belongs in the advert.
How to read the figures on this page
Structure and negotiation guidance only. The percentages shown in the worked examples are illustrative arithmetic, not market splits, and no salary ranges are published on this page.
What the data labels mean
- Sourced market data
- Taken from an external published source, cited with the date it was read.
- Adroit original data
- Drawn from our own briefs and placements, with the method described below.
- Explanatory guidance
- Explains how pay is structured. Makes no claim about current market levels.
- Illustrative example
- Arithmetic to show how the structure works. Not a market range.
- Source required
- Defined but not published: we do not hold data we can attribute yet.
What each number tells the candidate
Explanatory guidance| Row label | Base salary | OTE |
|---|---|---|
| Certainty | Contractual and predictable | Conditional on quota and plan rules |
| Signals | How the business values the role | How the business expects the role to perform |
| Employer cost | Fixed, paid in a bad year too | Scales with performance, if the plan is designed well |
| Candidate risk | None | Carries the quota, the ramp and the payment terms |
| Negotiation | Usually the real point of contention | Often accepted at face value, then tested in month six |
Base versus variable
Illustrative splits, shown to make the arithmetic concrete. These are not market norms — set your own from cycle length, deal size and how much pipeline the seller creates.
Higher base example
Weighted towards base
70% base / 30% variableIllustrative example
Suits long cycles, new territories and any role where the outcome depends heavily on things outside the seller's control.
Balanced example
Roughly balanced
60% base / 40% variableIllustrative example
A common shape where the motion is proven and the seller owns the number end to end.
Variable-heavy example
Weighted towards variable
50% base / 50% variableIllustrative example
Only credible where attainment is demonstrably achievable. Without that evidence it reads as risk transfer and narrows the candidate pool.
What moves the number
Direction of travel only. We do not publish a percentage uplift for any of these unless the size is evidenced.
Location and cost of living
Explanatory guidanceMoves pay in either direction
Base expectations differ by location, and remote hiring means a candidate may be comparing your base against a different local market. We publish no regional uplift figure without a cited source.
Company stage
Explanatory guidanceMoves pay in either direction
Earlier-stage businesses often lean on upside and equity in place of base, which trades a wider candidate pool for a cheaper fixed cost. Whether that is the right trade depends on the seat.
Segment and deal size
Explanatory guidanceTends to push pay up
Larger, more complex deals raise both the experience required and the fixed cost of carrying a long cycle, which tends to raise base rather than only OTE.
Worked examples
Two candidates, one advert
Illustrative example- Advertised
- OTE 100 units, uncapped
- Actual base
- 45 units
- Candidate with commitments
- Filters out at base
- Result
- Late-stage dropouts
Withholding the base does not widen the pool, it moves the rejection later in the process. Publishing the split saves both sides the time.
Method and refresh
- Structure and definitions are reviewed twice a year, and immediately if a legal or reporting requirement changes.
- Any figure carries the publisher and the date it was read, beside the figure rather than in a footnote.
- Where we use our own placement and brief data, we say how many roles it covers and over what period.
- A figure whose source has not been re-checked within the cadence is removed rather than left standing.
- Refresh cadence
- Reviewed every six months, and whenever a cited source publishes an update.
- Next review due
Use this with
- How sales compensation is structured
The components of a package and what to check about each one.
- How to hire an Account Executive
The brief, the evidence to look for and the usual failure points.
- Sales career map: SDR to CRO
Where each seat sits, so a package can be pitched at the right level.
Choosing the split honestly
- The less of the outcome the seller controls, the higher the base should be.
- Long cycles need a base that survives a quarter with no closes.
- A variable-heavy package is only credible where attainment is demonstrably achievable.
- A first hire into an unproven motion is carrying company risk, not sales risk — price it that way.
For candidates reading this
Ask three questions and you will know more than the advert tells you: what proportion of the team hit OTE last year, when commission is paid, and whether the ramp guarantee is repayable. A business with good answers gives them quickly. A long pause is itself an answer.
Common questions
- Is a higher base always better for the candidate?
- Not necessarily. A strong performer in a business where target is genuinely reachable earns more from a variable-heavy plan. The base is protection against the risk you cannot assess from outside.
- Should we advertise the base if it is below market?
- Yes — and use the process to find out whether it actually is. Concealing it converts a fast no into an expensive late-stage one.
- What split do most sales roles use?
- We do not publish a norm, because the defensible split depends on cycle length, deal size and how much pipeline the seller creates. The illustrative examples on this page show how the arithmetic works so you can derive your own.
Sources and review
- Written by
- Adroit Staffing
- Reviewed by
- Adroit Staffing editorial review
- First published
- Last reviewed
Reviewed every six months, and re-checked whenever a cited source changes. Next review due by . If a figure here no longer matches what you are seeing, tell us and we will re-check it.
This page is practice guidance from our own Sales and GTM recruitment work. It makes no claims about current market data, so it cites no external figures.
