Question for "commission" employees

[SunnyD]

What happens when a commission-based employee sells something, then that item is later returned? Does the employee have to pay back the commission? If not, what would stop an employee from getting his/her friends to come in every month and buy a few items and return them later for a refund while boosting his own commission in the process?

Note: I am not a commission-based employee, nor am I even in sales.

 

[RKS]

I would imagine you would get to keep the money but management would catch on pretty quick. I have a relatively generous salary and great commission plan but in my field we don't have "returns" so I don't know for sure.

 

[Crazee]

If the return occurs in the same pay period it was sold, the commission is never paid. If it occurs after that pay period it is deducted from the commission you would have received in the pay period in which the item was returned.

 

[Isabel]

Originally posted by: Crazee
If the return occurs in the same pay period it was sold, the commission is never paid. If it occurs after that pay period it is deducted from the commission you would have received in the pay period in which the item was returned.

Yep, this is how it works for my boyfriend.

 

[rudeguy]

Originally posted by: Crazee
If the return occurs in the same pay period it was sold, the commission is never paid. If it occurs after that pay period it is deducted from the commission you would have received in the pay period in which the item was returned.

Yep. I hate chargebacks.

I have been a commissioned salesman for 9 years.

 

[aesthetics]

Originally posted by: rudeguy

Originally posted by: Crazee
If the return occurs in the same pay period it was sold, the commission is never paid. If it occurs after that pay period it is deducted from the commission you would have received in the pay period in which the item was returned.

Yep. I hate chargebacks.

I have been a commissioned salesman for 9 years.

That really does suck. It makes sense, though.

 

[compuwiz1]

A decent company will have a time frame, ie., 90 days, 180 days, etc., from the date of sale. I would not work for a company that held you to a chargeback indefinitely.