Compensation plan l

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Compensation plan l

  1. 1. 1 | COMPENSATION PLANcmp-compplan-001-rev1COMPENSATION®PLAN
  2. 2. COMPENSATION PLANWelcome to It Works!. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1Your First 30 Days. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2Start Climbing the Ranks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5Management Levels. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6Management Bonuses. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7Leadership Levels. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8Diamond Generations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9Diamond Bonus. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12Diamond Ranks. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13Leadership Bonuses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16Glossary of Terms. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18T A B L E O FCONTENTScmp-compplan-001-rev1
  3. 3. 1 | COMPENSATION PLANcmp-compplan-001-rev1Welcome to the It Works! Compensation Plan,1your guide to achieving your optimumearnings potential, reaching your financial goals, and fulfilling your dreams for a lifefilled with friendships, fun, and, best of all, FREEDOM! Whether your goal is to pay offyour mortgage, send your kids to college, or quit your job to spend your days howeveryou choose, the It Works! Compensation Plan can help you achieve it!ARE YOU READY TO LEARN HOW? WELL, LET’S GET STARTED!RELATIONSHIP BUILDING—AND EARNING!At It Works!, we believe in the power and potential of people. Connecting with people is howyou can build a successful business and unbelievable income with It Works!. How you earn andhow much you earn starts with the three distinct people that make up your It Works! business.• Retail Customers: These are customers who make a onetime, retail price purchase ofIt Works! products. When you make a retail customer sale, you earn a retail commission,a onetime retail profit (the difference between the retail price and the wholesale priceof the product) on that sale. Commissions are paid to the enrolling Distributor on retailorders whether or not they are commission qualified for the month.• Loyal Customers: Loyal Customers are your customers who sign up for the minimum threemonth auto-ship agreement for their product orders and receive wholesale pricing on allof these products. With sales to Loyal Customers, you earn a percentage commission withevery qualifying order placed.• Distributors: Distributors are members of your team who have completed the Distributorenrollment process and want to build a business. You will earn commissions on their ordersand the orders in their downline for the levels that you are qualified for.As you build a team of Distributors and start to promote, the number of pay levels will increaseand your income will continue to grow. The bigger the team that you build, the more moneyyou can make. This is why building your team by investing your effort, energy, and time inothers will help you maximize your earnings. It Works! recommends that to maximize yourearnings, Distributors should maintain the enrollment of their Distributors and Loyal Customers.If you choose to change placement, it may impact your commissions.WELCOME TO1All references to income, implied or stated, through the It Works! Compensation Plan are for demonstration purposes only. It Works! does NOT guarantee any level of income or earnings to any Distributor. Earnings from thisCompensation Plan depend solely on sales and each Distributor’s skill, ability, and personal application. This Compensation Plan is subject to change.
  4. 4. 2 | COMPENSATION PLANcmp-compplan-001-rev1In order to start earning your commissionson your It Works! business, you need to beCommission Qualified. This enables you toearn commissions on the Bonus Volume fromyour Loyal Customer and Distributor orders.If you enrolled with the Business Builder Kit,congratulations, you are already commissionqualified for the month you enrolled. If youdidn’t, or if it is after your enrolling month, youmust complete one of the following:• Process your minimum 80 BV auto-shipment• Have at least 400 Personal Bonus Volumefor the month.VOLUME DEFINITIONS:Bonus Volume (BV):Bonus Volume is the assigned value of aproduct for the purpose of qualification andcalculation of bonuses and commissions.Personal Bonus Volume (PBV):PBV is the sum of the bonus volume from aDistributor’s personal orders and all personallyenrolled loyal and retail customer orders.Group Volume (GV):GV is the sum of your PBV plus the PBV of everyDistributor in your downline organization.Build your business by enrolling Loyal Customersand you can earn free It Works! products foryour business—or yourself! That’s the DistributorRebate Credit—$120 in product credit thatrewards you for gathering four Qualified ActiveLoyal Customers within your first 30 days.2QUALIFIED ACTIVE LOYAL CUSTOMER:This is a Loyal Customer who is in the processor has fulfilled the It Works! Loyal Customeragreement and who does not share anaddress with the enroller, any other Distributor,or any other Loyal Customer. A QualifiedActive Loyal Customer counts towards bonusesand rewards. The Qualified Active LoyalCustomer does not need to have an activeauto-shipment profile if they have alreadycompleted the Loyal Customer agreement.Any Loyal Customer who is counted towards abonus, reward, or credit but fails to completethe Loyal Customer agreement must bereplaced within 14 days or the bonus, reward,or credit that was earned using this LoyalCustomer will be recovered.EARN FREE PRODUCT WITHTHE DISTRIBUTOR REBATE CREDITBECOMECOMMISSION QUALIFIED 21YOUR FIRST30 DAYS2Rebate Credit can only be used up to the Bonus Volume amount of the order. Distributors are responsible for paying all shipping and taxes on Rebate Credit orders.
  5. 5. 3 | COMPENSATION PLANcmp-compplan-001-rev1HOW TO EARNTHE DISTRIBUTOR REBATE CREDITAs you continue to enroll Loyal Customers you’ll earn Wrap Rewards you can use to purchase theIt Works! Wrap™or the Facial Applicator™at a reduced price. You earn one Wrap Reward for everytwo Qualified Active Loyal Customers you enroll. These rewards are good for 60 days from the datethey are applied to your account.GET REWARDED WITH WRAP REWARDS!3Your Wrap Rewards will be calculated and applied to your account nightly using this formula:DISTRIBUTOR:• Purchase the Business Builder kit.• Set up your minimum 80 BV auto-shipment to process in your first 30 days.• Enroll 4 Qualified Active Loyal Customers.3DISTRIBUTOR QUALIFIED ACTIVELOYAL CUSTOMER (1)QUALIFIED ACTIVELOYAL CUSTOMER (2)WRAPREWARD13Please note: Loyal Customers may not share an address with either the enroller, any other Distributor, or another Loyal Customer and any Loyal Customer used for a credit, reward, or bonus who cancels prior to completing theagreement must be replaced or the credit, reward, or bonus will be recovered through a commission adjustment.2NUMBER OFQUALIFIED ACTIVELOYAL CUSTOMERS#NUMBER OFAPPLICATOR REWARDSALREADY APPLIEDCURRENT WRAPREWARDSQUALIFIED ACTIVELoyal Customer (1)QUALIFIED ACTIVELoyal Customer (2)QUALIFIED ACTIVELoyal Customer (3)QUALIFIED ACTIVELoyal Customer (4)
  6. 6. 4 | COMPENSATION PLANcmp-compplan-001-rev1The Fast Start Bonus is a $100 cash bonus you can earn by enrolling new Distributors who meetthe Fast Start Bonus qualifications in their first 30 days. To earn the bonus, you need to be FastStart Bonus qualified.BECOME FAST START BONUS QUALIFIED44You don’t have to be Fast Start qualified yourself when you enroll a new Distributor, but you do need to become Fast Start Bonus Qualified within your new Distributor’s first 30 days in order to collect a Fast Start bonus on thenew Distributor.HOW TO BEFAST START BONUS QUALIFIEDOnce you have met all of the requirements, you can earn Fast Start bonuses on any of yourqualified Distributors that are still within their first 30 days.4DISTRIBUTOR:• Purchase the Business Builder kit.• Set up a minimum 80 BV auto-ship to process within the first 30 days of enrollment.• Enroll 2 Qualified Active Loyal Customers.QUALIFIED ACTIVELOYAL CUSTOMER (1)QUALIFIED ACTIVELOYAL CUSTOMER (2)
  7. 7. 5 | COMPENSATION PLANcmp-compplan-001-rev1START CLIMBINGTHE RANKSPlease note: A Distributor does not earn commissions on personal orders or on orders that other Distributors place directly under them.All new enrolling Distributors will start with thetitle of Distributor once they have completedthe enrollment process and purchased anIt Works! Distributor enrollment kit. All Distributorsmust be commission qualified for the month inorder to earn commissions. All Distributors willearn 10% commission on their first two levelsand a 5% enroller bonus if they personallyenrolled the Distributor or Loyal Customerwho placed the order. To earn commissionson additional levels you will need to promoteto a higher rank. The following pages providethe qualifications that must be met to bepaid at each rank along with the monthlycommissions and bonuses that you will bepaid at those ranks. All monthly commissionsare paid by the end of the day on the 15thofthe following month and are based on thepaid ranks of distributors for the current month.Leg:Each Independent Distributor on your first levelrepresents a separate “Leg” in your team. Legs inyour organization grow as your first-level Distribu-tors begin to build their own teams (downlines).Qualified Leg:A Qualified Leg is one with at least 400 totalGroup Volume coming from anywhere in thedepth of the Leg. The top Distributor of a Legdoes not have to be Commission Qualified forthe Leg to be considered a Qualified Leg.Compression:During the commission process, commissions are“compressed” to allow you to earn commission onsales originating further down in your organization.Only commission qualified Distributors count asa level in the commission calculation process.Personal Bonus Volume generated fromDistributors who are not commission qualified aretherefore moved up in the genealogy to the nextcommission qualified level.
  8. 8. 6 | COMPENSATION PLANcmp-compplan-001-rev1EXECUTIVERUBYEMERALDTo qualify to be paid as an Executive, you mustcomplete the same steps as a Distributor AND havea minimum of 2 Qualified Legs.As an Executive, you are eligible to be paid on threelevels of your downline orders after compression. SeeManagement Bonuses chart, page 7.To qualify to be paid as a Ruby, gather and build to3 Qualified Legs with at least 1 of the 3 Legs beingan Executive Leg.Executive Leg: a Leg with an Executive somewherein the depth of the Leg.As a Ruby, you are eligible to be paid on four levelsof your downline orders after compression. SeeManagement Bonuses chart, page 7.To qualify to be paid as an Emerald, gather andbuild to 4 Qualified Legs with at least 2 of the 4 Legsbeing Ruby Legs.Ruby Leg: a Leg with a Ruby somewhere in thedepth of the Leg.As an Emerald, you are eligible to be paid on fivelevels of your downline orders after compression.See Management Bonuses chart, page 7.As an Emerald, you will also earn the Emerald Bonus.With the Emerald Bonus, you’ll earn an additional2% payout on the Bonus Volume on unlimited levelsstarting with the sixth level and going through thefifth level of the first Emerald or higher in any Legafter compression is applied.EMERALDEXECUTIVEQUALIFIEDLEGQUALIFIEDLEGMANAGEMENTLEVELSRUBYEXECUTIVELEGQUALIFIEDLEGQUALIFIEDLEGRUBYLEGRUBYLEGQUALIFIEDLEGQUALIFIEDLEG
  9. 9. 7 | COMPENSATION PLANcmp-compplan-001-rev1MANAGEMENTBONUSES80 BV auto-shipOR400 PBV10%10%5%10%10%80 BV auto-shipOR 400 PBVPLUS2 Qualified Legs5%5%10%10%80 BV auto-shipOR 400 PBVPLUS3 Qualified Legs(1 being anExecutive Leg)5%5%5%10%10%2%80 BV auto-shipOR 400 PBVPLUS4 Qualified Legs(2 beingRuby Legs )Level 6Level 5Level 4Level 3Level 2Level 1Initial/MonthlyQualificationsRequirementsEmerald Bonus LevelRUBYEXECUTIVEDISTRIBUTOREMERALDRANKS LEVELSPlease note: The chart refers to levels after compression has been applied.All qualified Distributors also earn a 5% Enroller Bonus on volume ordersplaced by personally enrolled Distributors or Loyal customers.
  10. 10. 8 | COMPENSATION PLANcmp-compplan-001-rev1Every new Diamond is a new generation—literally!Each new Diamond that promotes in aDistributor’s downline starts a new Generationin that Leg and the generation is made up ofthe Diamond’s Personal Group Bonus Volume.Generation:Each new Diamond that promotes in yourdownline starts a new generation in thatLeg and the generation is made up of theDiamond’s PGBV.The Personal Group Bonus Volume (PGBV):The PGBV is your Personal Bonus Volumecombined with the Personal Bonus Volume ofall Distributors in your downline outside of anyDiamonds or higher in each Leg.LEADERSHIPLEVELSGENERATION BONUSESWhen you reach Diamond you’ve reached the Leadership Level,a “Whole’ Notha Level” of bonuses and income earnings potential!With every new generation comes a GenerationBonus. Diamonds and above can earnGeneration Bonuses on up to five generationsbased on their Paid as Rank. As a Diamond,you will be paid a 2% commission on yourfirst generation, your PGBV. Reach DoubleDiamond and you’re paid a 4% commission onyour second generation, and so on. With eachpromotion comes another generation youcan earn bonuses on. These bonuses are paidon the Personal Group Bonus Volume and arepaid with the monthly commissions. See theDiamond Generation Payouts chart.When members in your team that you havepersonally enrolled achieve the rank of Diamondor higher and you are also a Diamond orhigher, you receive a 5% Generational EnrollerBonus on their PGBV.
  11. 11. 9 | COMPENSATION PLANcmp-compplan-001-rev1DIAMONDGENERATION PAYOUTS2% PGBV4% PGBV2% PGBV2% PGBV4% PGBV2% PGBV1% PGBV2% PGBV4% PGBV2% PGBV80 BV auto-shipOR 400 PBVPLUS4 Qualified Legs(2 beingRuby Legs )2ndGeneration1stGeneration4thGeneration3rdGeneration5thGeneration1% PGBV2% PGBV4% PGBV2% PGBV1% PGBVDIAMONDDOUBLEDIAMONDTRIPLEDIAMONDPRESIDENTIALDIAMONDAMBASSADORDIAMONDRANK PAYOUT
  12. 12. 10 | COMPENSATION PLANcmp-compplan-001-rev1DOUBLE DIAMONDGENERATION PAYOUTSEMERALDDOUBLEDIAMONDDISTRIBUTORQUALIFIEDLEGDISTRIBUTOR2ND GENERATIONYou earn a 4% bonus (2nd Generation payout)on the first Diamond or higher PGBV in eachindividual Leg. Earn an additional 5% onpersonally enrolled Diamonds or higher PGBV.RUBYLEGDIAMONDLEGEMERALDLEGQUALIFIEDLEGQUALIFIEDLEGQUALIFIEDLEGYou earn a 2% 1st Generation bonus on PGBV.RUBYLEGRUBYLEGQUALIFIEDLEGQUALIFIEDLEGQUALIFIEDLEGQUALIFIEDLEG
  13. 13. 11 | COMPENSATION PLANcmp-compplan-001-rev1DISTRIBUTORDISTRIBUTORDISTRIBUTORTRIPLE DIAMONDGENERATION PAYOUTS3RD GENERATIONYou earn a 2% bonus (3rd Generationpayout) on all third generation Diamonds(or higher) PGBV. Earn an additional 5%on personally enrolled Diamonds orhigher PGBV.TRIPLEDIAMONDQUALIFIEDLEGQUALIFIEDLEG2ND GENERATIONYou earn a 4% bonus (2ndGeneration payout) on the firstDiamond or higher PGBV in eachindividual Leg. Earn an additional5% on personally enrolled Diamondsor higher PGBV.2ND GENERATIONYou earn a 4% bonus (2nd Generationpayout) on the first Diamond or higherPGBV ineachindividual Leg. Earn anadditional5% on personally enrolledDiamonds or higher PGBV.RUBYLEGDIAMONDLEGEMERALDLEGQUALIFIEDLEGQUALIFIEDLEGQUALIFIEDLEGRUBYLEGDIAMONDLEGEMERALDLEGQUALIFIEDLEGQUALIFIEDLEGQUALIFIEDLEGDISTRIBUTORDOUBLEDIAMONDLEGEMERALDLEGDIAMONDLEGQUALIFIEDLEGQUALIFIEDLEGQUALIFIEDLEGRUBYLEGEMERALDLEGQUALIFIEDLEGQUALIFIEDLEGQUALIFIEDLEG2ND GENERATIONYou earn a 4% bonus (2nd Generationpayout) on the first Diamond or higherPGBV in each individual Leg. Earn anadditional 5% on personally enrolledDiamonds or higher PGBV.You earn a 2% 1st Generation bonus on PGBV.
  14. 14. 12 | COMPENSATION PLANcmp-compplan-001-rev1DIAMONDBONUSAs a Diamond Distributor or above, you’remeeting your goals, building your team, andincreasing your earnings. Your leadership skillshave brought you this far and we believe youshould be awarded with a bonus that is just forour leaders, Diamonds and above.By reaching Diamond, you now have achance to seriously impact your monthlyearnings by taking advantage of the DiamondBonus. The Diamond Bonus is an $80 bonus thatis paid to the Diamond Level Sponsor of a newDistributor who meets the Fast Start Bonusqualifications in their first 30 days.For each new Distributor you personally enrollyou will earn a Diamond Bonus. You will also bethe Diamond Level Sponsor for the entire Legthat is created by these new enrollees.For each new Distributor that you enroll onceyou promote to Diamond, you will be theirDiamond Level Sponsor. You will also be theDiamond Level Sponsor of all new Distributors(formerly CAB Bonus)enrolled through these new Legs until a newDiamond promotes somewhere in one of theLegs. At that time, the new Diamond will bethe Diamond Sponsor for any new Legsthey create but you will continue to be theDiamond Sponsor for all their previous Legs.Diamond Bonuses are paid out accordingto the Leadership Level Sponsors for eachnew qualified Distributor. As Leadership LevelDistributors promote up through the Diamondranks, it’s important to create new Legs ateach rank to take advantage of being theassigned Leadership Level Sponsor at the newrank. With each Leadership Level promotion,you will be creating Legs where you are theassigned Leadership Level Sponsor for morelevels and additional bonuses are paid ateach level.In order to earn the Diamond Bonus, you mustbe qualified at the Paid As bonus level for themonth the bonus is paid.DIAMOND BONUS PAYOUT WITH EACH LEVELRank Diamond BonusDIAMOND $80 for each new qualifying Distributor who is in theDiamond Leadership Level Sponsor Leg.DOUBLE DIAMOND $40 for each new qualifying Distributor who is in theDouble Diamond Leadership Level Sponsor Leg.TRIPLE DIAMOND $15 for each new qualifying Distributor who is in theTriple Diamond Leadership Level Sponsor Leg.PRESIDENTIAL DIAMOND $10 for each new qualifying Distributor who is in thePresidential Diamond Leadership Level Sponsor Leg.AMBASSADOR DIAMOND $5 for each new qualifying Distributor who is in theAmbassador Diamond Leadership Level Sponsor Leg.
  15. 15. 13 | COMPENSATION PLANcmp-compplan-001-rev1DIAMONDTo qualify to be paid as a Diamond, you must have 5 Qualified Legs with at least 1 of the 5 Legs being aRuby Leg and 1 of the 5 Legs being an Emerald Leg.5The Ruby and Emerald must be in separate Legs.As a Diamond you will earn all of the same residual commissions and Bonuses as an Emerald plus your newLeadership Level Generation and Diamond Bonuses:• An additional 2% Generation 1 Bonus on your own Personal Group Bonus Volume.• A 5% Generational Enroller Bonus on the Personal Group Bonus Volume of any personally enrolled Diamonds(or higher).• Diamond Bonus of $80 for each new personally enrolled qualifying Distributor who is in the DiamondLeadership Level Sponsor Leg and the downline Distributors that you are the Diamond Level Sponsor for inthese new Legs.5A Ruby Leg is a Leg with a Ruby somewhere in the depth of the Leg. An Emerald Leg is a Leg with an Emerald somewhere in the depth of the Leg.6A Diamond Leg is a Leg with a Diamond somewhere in the depth of the Leg.Please note: New titles are not official until the overnight title update process has completed. A new title must be official before a Distributor can be considered as a Leadership Level Sponsor at the new rank. Newly promotedLeadership Level Distributors should never enroll a new Distributor until the day following their promotion to ensure the title has been officially verified by the system title update process.DIAMONDQUALIFIEDLEGQUALIFIEDLEGQUALIFIEDLEGEMERALDRUBYDOUBLEDIAMONDQUALIFIEDLEGQUALIFIEDLEGQUALIFIEDLEGEMERALDDIAMONDDOUBLE DIAMONDTo qualify to be paid as a Double Diamond you must build on the requirements for Diamond by having5 Qualified Legs with at least 1 of the Legs being an Emerald Leg and 1 of the Legs being a Diamond Leg.6The Emerald and Diamond must be in separate Legs.As a Double Diamond you will earn the same residual commissions and Bonuses as a Diamond plus:• An additional 4% Generation 2 Bonus on the Personal Group Bonus Volume of your 2nd generationDiamonds (first “paid as” Diamond or higher in each individual Leg).• An additional Double Diamond Bonus of $40 for each new personally enrolled qualifying Distributor whois in the Double Diamond Leadership Level Sponsor Leg and the downline Distributors that you are theDouble Diamond Level Sponsor for in these new Legs.DIAMONDRANKS
  16. 16. 14 | COMPENSATION PLANcmp-compplan-001-rev1TRIPLE DIAMONDTo qualify to be paid as a Triple Diamond you need to build on what you’ve accomplished as a DoubleDiamond by having 5 Qualified Legs with at least 2 of the 5 Legs being Diamond Legs, and 1 of the 5 Legsbeing a Double Diamond Leg.3The 2 Diamonds and 1 Double Diamond must all be in separate Legs.As a Triple Diamond you will earn the same residual commissions and bonuses as a Double Diamond plus:• A 2% Generation 3 Bonus on the Personal Group Bonus Volume of your 3rd Generation Diamonds orhigher (second “paid as” Diamond or higher in each individual Leg).• An additional Triple Diamond Bonus of $15 for each new personally enrolled qualifying Distributor who isin the Triple Diamond Leadership Level Sponsor Leg and the downline Distributors that you are the TripleDiamond Level Sponsor for in these new Legs.7A Double Diamond Leg is a Leg with a Double Diamond somewhere in the depth of the Leg.8A Triple Diamond Leg is a Leg with a Triple Diamond somewhere in the depth of the Leg.Please note: New titles are not official until the overnight title update process has completed. A new title must be official before a Distributor can be considered as a Leadership Level Sponsor at the new rank. Newly promotedLeadership Level Distributors should never enroll a new Distributor until the day following their promotion to ensure the title has been officially verified by the system title update process.TRIPLEDIAMONDQUALIFIEDLEGQUALIFIEDLEGDIAMOND DOUBLEDIAMONDDIAMONDPRESIDENTIAL DIAMONDTo qualify to be paid as a Presidential Diamond you need to build on what you’ve accomplished as aTriple Diamond by having 5 Qualified Legs with at least 2 of the 5 Legs being Diamond Legs, 1 of the 5Legs being a Double Diamond Leg, and 1 of the 5 Legs being a Triple Diamond Leg.4The 2 Diamonds,1 Double Diamond, and 1 Triple Diamond must all be in separate Legs.As a Presidential Diamond you will earn the same residual commissions and bonuses as a Triple Diamond plus:• A 1% Generation 4 Bonus on the Personal Group Bonus Volume of their 4th Generation Diamonds or higher(third “paid as” Diamond or higher in each individual Leg).• An additional Presidential Diamond Bonus of $10 for each new qualifying Distributor who is in the PresidentialDiamond Leadership Level Sponsor Leg and the downline Distributors that you are the Presidential DiamondLevel Sponsor for in these new Legs.PRESIDENTIALDIAMONDQUALIFIEDLEGDIAMOND DIAMOND TRIPLEDIAMONDDOUBLEDIAMOND
  17. 17. 15 | COMPENSATION PLANcmp-compplan-001-rev1AMBASSADOR DIAMONDTo qualify to be paid as an Ambassador Diamond you need to build on what you’ve accomplished asa Presidential Diamond by having 5 Qualified Legs with at least 2 of the 5 Legs being Double DiamondLegs, 2 of the 5 Legs being Triple Diamond Legs, and 1 of the 5 Legs being a Presidential Diamond Leg.The 2 Double Diamonds, 2 Triple Diamonds, and 1 Presidential Diamond must all be in separate Legs.As an Ambassador Diamond you will earn all the same residual commissions and bonuses as a PresidentialDiamond plus the following:• A 1% Generation 5 Bonus on the Personal Group Bonus Volume of their 5th Generation Diamonds orhigher (fourth “paid as” Diamond or higher in each individual Leg).• An additional Ambassador Diamond Bonus of $5 for each new qualifying Distributor who is in theAmbassador Diamond Leadership Level Sponsor Leg and the downline Distributors that you are the Am-bassador Diamond Level Sponsor for in these new Legs.Please note: New titles are not official until the overnight title update process has completed. A new title must be official before a Distributor can be considered as a Leadership Level Sponsor at the new rank. Newly promotedLeadership Level Distributors should never enroll a new Distributor until the day following their promotion to ensure the title has been officially verified by the system title update process.AMBASSADORDIAMONDDOUBLEDIAMONDDOUBLEDIAMONDTRIPLEDIAMONDPRESIDENTIALDIAMONDTRIPLEDIAMOND
  18. 18. 16 | COMPENSATION PLANcmp-compplan-001-rev1*To be commission qualified in any pay period you must maintain 400 PBV or process 80 BV auto-shipment.2% PGBV4% PGBV2% PGBV2% PGBV4% PGBV2% PGBV1% PGBV2% PGBV4% PGBV2% PGBV80 BV auto-shipOR 400 PBVPLUS4 Qualified Legs(2 beingRuby Legs )2ndGeneration1stGeneration4thGeneration3rdGeneration5thGeneration1% PGBV2% PGBV4% PGBV2% PGBV1% PGBVInitial/MonthlyQualificationsRequirementsCommissionQualified*PLUS5 QualifiedLegs(1 being a RubyLeg AND 1 beingan Emerald Leg)CommissionQualified*PLUS5 QualifiedLegs(1 being anEmerald LegAND 1 being aDiamond Leg)CommissionQualified*PLUS5 QualifiedLegs(2 being DiamondLegs AND1 being a DoubleDiamond Leg)CommissionQualified*PLUS5 QualifiedLegs(2 being DiamondLegs AND 1 beinga DoubleDiamond LegAND1 being a TripleDiamond Leg)CommissionQualified*PLUS5 QualifiedLegs(2 being DoubleDiamond Legs,2 being TripleDiamond LegsAND 1 beinga PresidentialDiamond Leg)DiamondBonus$80 $40 $15 $10 $5LEADERSHIPBONUSESDIAMONDDOUBLEDIAMONDTRIPLEDIAMONDPRESIDENTIALDIAMONDAMBASSADORDIAMONDRANK GENERATIONSAll Leadership Level ranks (Diamond or higher) will also earn a 5% Generational Enroller Bonuson the PGBV of any Diamond or higher that they have personally enrolled.
  19. 19. 17 | COMPENSATION PLANcmp-compplan-001-rev1MONTHLY MAINTENANCEStarting with Emerald, you can maintain your “paid as” title through Monthly Maintenance.Monthly Maintenance allows you to use your Leg volumes to re-qualify for a Rank rather than usethe Leg requirements. You may not use more than 50% of the maintenance requirement from anyone Leg.MONTHLY MAINTENANCE CHARTRank Monthly Maintenance RequirementEMERALD 8,000 GV with no more than 4,000 BV counting fromany one LegDIAMOND 10,000 GV with no more than 5,000 BV counting fromany one LegDOUBLE DIAMOND 25,000 GV with no more than 12,5000 BV countingfrom any one LegTRIPLE DIAMOND 50,000 GV with no more than 25,000 BV counting fromany one LegPRESIDENTIAL DIAMOND 100,000 GV with no more than 50,000 BV countingfrom any one LegAMBASSADOR DIAMOND 250,000 GV with no more than 125,000 BV countingfrom any one LegGathering Loyal Customers and providing them with excellent service is just as important asbuilding a team of Distributors. The Loyal Customer Bonus rewards you for doing just that!Personally enroll and maintain a minimum of 60 Qualified Active Loyal Customers5andaccumulate 3,000 Personal Bonus Volume for the month and you’re qualified for the $600Loyal Customer Bonus. This bonus will be paid out every month that both of these requirementsare met.5The Loyal Customers do not have to have an active auto-shipment as long as they have completed the minimum three month agreement.LOYAL CUSTOMER BONUS (formerly Car Bonus)
  20. 20. 18 | COMPENSATION PLANcmp-compplan-001-rev1Active Distributor:A Distributor who is commission qualified duringthe current commission month (see Distributorsdefinition on below).Bonus Volume (BV):Bonus Volume is the assigned value of aproduct for the purpose of qualification andcalculation of bonuses and commissions.Canceled Distributor:A Distributor who has passed their renewaldate and has not renewed their It Works!Distributor account or has canceled theirDistributor account with It Works! Global™.Clawback:Recovery of commissions from a return orderthat a Distributor was paid on in a pastcommission month. Distributors will see theclawback for each return order on theirEarnings Statement. If a Distributor earnedmore than one type of commission or bonuson an order that was later returned, they willsee the order listed more than once in theProduct Return section of their EarningsStatement. The order will be listed once foreach commission or bonus type that theDistributor was paid for on the original order.Compression:Compression is part of the commission calculationprocess that will move order volume up in thegenealogy past any Distributors who are notcommission qualified for the month. Onlycommission qualified Distributors count as alevel in the commission calculation process soany Personal Bonus Volume that is generatedby a Distributor who is not commission qualifiedis compressed up to the next commissionGLOSSARYOF TERMSqualified level. Distributors and Loyal Customersdo not ever physically move up in the genealogyduring this process, only the order bonusvolume will compress up. Distributors will seethis on their Earnings Statement as orders thatare compressed will show as paid on a higherlevel than they were actually entered on.Compression helps maximize a Distributor’scommissions by bringing volume that theywould not normally qualify to be paid on upinto their pay levels.Compression Example: Sally is commissionqualified in the month of March and has anorder placed on her 3rd level by Bill who isalso commission qualified. One of the twoDistributors between Sally and Bill does notbecome commission qualified in March. Thiswill cause Bill’s order to be paid on Sally’s 2ndlevel instead of her 3rd level.Diamond Leg:This is a Leg with a Diamond somewhere in thedepth of the Leg.Distributors:Distributors are members of your team whohave completed the Distributor enrollmentprocess and want to build a business. Youwill earn commissions on their orders and theorders in their downline for the levels that youare qualified for.Emerald Leg:An Emerald Leg is a Leg with an Emeraldsomewhere in the depth of the Leg.Executive Leg:This is a Leg with an Executive somewhere inthe depth of the Leg.
  21. 21. 19 | COMPENSATION PLANcmp-compplan-001-rev1Glossary of Terms (continued)Generation:Each new Diamond that promotes in yourdownline starts a new generation in thatLeg and the generation is made up of theDiamond’s PGBV.Group Volume (GV):GV is the sum of your PBV plus the PBV of everyDistributor in your downline organization.Inactive Distributor:A Distributor who is not commission qualifiedduring the commission month but still has theright to distribute It Works! products.Leg:Each Independent Distributor on your firstlevel represents a separate “Leg” in yourteam. Legs in your organization grow as yourfirst-level Distributors begin to build their ownteams (downlines).Personal Bonus Volume (PBV):PBV is the sum of the bonus volume from aDistributor’s personal orders and all personallyenrolled loyal and retail customer orders.Personal Group Bonus Volume (PGBV):The PGBV is your Personal Bonus Volumecombined with the Personal Bonus Volume ofall Distributors in your downline outside of anyDiamonds or higher in each Leg.Qualified Leg:A Qualified Leg is one with at least 400 totalGroup Bonus Volume coming from anywherein the depth of the Leg. The top Distributor of aLeg does not have to be Commission Qualifiedfor the Leg to be considered a Qualified Leg.Ruby Leg:This a Leg with a Ruby somewhere in the depthof the Leg.

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