How to Verify The "On-Target Earnings" of a High-Ticket Sales Role

Yo, what's going on, you guys? I want to make a quick rundown video of this OTE calculator so that you guys can stop getting played in these Facebook groups with these false OTEs. Or if you haven't been played in the Facebook groups, so you never get played in the Facebook groups. You guys who have been at it for a little bit, you know, there's a lot of people out there Advertising on target earnings. It seems like the target is completely arbitrary, which is unfortunate. So since that's the state of the market and how people want to advertise things, I want to set you guys up to know how to run the numbers, right? Know how to avoid the bad jobs, even if they seem good. I like to make my decisions based off of data. Right? Another reason why I only really work on vetted offers. So this is going to be the setter OTE one. We'll go over the closer one in just a minute. You'll see down here, Google Sheet. You guys will have a link to this in the description. Setter, touch closer in a bit, but let's go through it. I'm gonna make up a setting role. Completely off the top of my head. Let's say it's a real estate coaching program. Let's say they're saying you can make $6,000 a month. Oh, by the way, guys, this green stuff, OTE calculator outside, the pieces of data right here, if you can get these pieces of data, you can tell whether this is worth your time or not. Calculator aside. Okay. Every interview I take, I try to get these pieces of data because then I can kind of work things around in my head. And see if this is actually legit or not. So let's say they got a $6,000 OTE. Let's say last month they pulled in $200,000. Let's say their program is also $6,000 and they have 3 appointment setters on their team. Now, if they're expecting you to work Monday through Friday, that's probably like 21, 22 days of the month. Let's just say 22. They want you to book 4 calls a day, standard show rate, like 70%. And let's say they close at 20%. Okay. Now on this role, I'm gonna make it up. Say they're giving you a $1,500 per month base. You do not get paid per booking, but you do get, You do get 0.03, let's just go 0.05% of this, of cash collected. Sorry. So hold on, I just messed that up. Okay. 0.05, 5% of cash collected. Now the expectation and this advertised OTE is not really considered in the data calculation except for over here. These are. Okay, so the expectation based off of these numbers is that every individual on their team, the 3 here, are each booking 88 calls a month. They're having 61 shows, 12 closes. They're having about $74K close and they're making about $5,200. Now you combine the team, there's 3 setters. This is really just this times 3. Really, I mean, you're going to see bookings per month, showed booking. Yeah, showed bookings, closes, revenue. So based on these calculations, if the revenue on these projections is over what they told you, somebody's probably not hitting KPIs. Pretty safe to assume. And then average commission, they're paying out about $15,000. Now expectation with you is really just these 3 plus the individual, like another individual. So it's going to be 4 contributions, 352 bookings per month, 244 or 245 showed, sorry, 46 showed, about 50 closes, $200,000. $95,000 they're expecting once you come on, and they're going to be paying out that much commission. Now, this is pretty solid. I think with these, these numbers input, input it with a 6,000 OTE, it's close, but it's not quite there. These numbers aren't going to be perfect. So if you see up here, sheet's not going to be 100% accurate. It'll give you an idea, but it doesn't account for cash collected, recurring revenue, refunds, varying Packages, skill sets, calendar available. Like there's a lot of stuff that this doesn't account for. All this accounts for is the data and what they're telling you, right? And honestly, guys, all this stuff, like you're gonna drive yourself crazy trying to calculate it to the T. Like this is, this gives you a good idea if we're in the general ballpark based off of this, we're pretty close. Okay. Now, currently, and this is based off of the revenue numbers, if they have 3 setters currently, they're booking about 80 calls a month, 56 showed calls per month, about 11 closes. Each setter is having about $67K close, and they're making about $4,800 based off of combination of revenue and the projections. Here. Well, actually, I'm sorry, this is just revenue, revenue split up by 3 and then reverse calculated. These projections aren't factored into this. Um, so advertised OT is $6,000. If they're hitting all the KPIs down here, they're making about $5,100. And based on the revenue and the number of setters Making about $4,800. Now, again, this isn't taking into account for maybe there's leads that close that don't even touch— like the setters don't even touch them, right? So there's a lot of factors that play into this. Generally speaking, we're pretty close here. Like, this calculator is really going to tell you if they're completely off the money or not. So going over to— and this side right here is just the team, right? So 3 setters, this number times 3. Uh, there, going over here, this is, you know, what they're currently doing versus what they're expecting, right? So expectation, currently, current versus expectations, they're close. You know, 90% is pretty good, pretty good, pretty good. Now I've seen this number go up to like 200%, right? If it's above 100%, great. If it's closer to 200, even better, even like 150, 200. Because that's showing that they're doing the revenue to support an extra sales rep. No questions asked. To be honest, you know, $6,000 OTE, they're a little bit under the mark here, right? So they are probably hoping and projecting on growth. Now, current team versus new team with you. Once they add the 4th setter, which is gonna be you, if you were to accept, they're missing the mark revenue-wise. So I've seen this number go down into the 50s, 40s, and 30s. This one here, if they are projecting growth, like if they're at $200,000 a month, they could probably get to $250,000 pretty easily. They've got it dialed in. You don't get to $200,000 a month without being dialed in. So this is, you know, it's lower than I'd like to see, but given the other factors, they're doing $200K a month, 3 setters, they're closing, you know, show rates here, close rates here. This is not a deal breaker. So That's kind of a rundown of this, guys. Again, it's all based on the data. Okay? So don't live and die by this, but it is a helpful tool. Now, closing-wise, it's a little bit more simple because here on the setter one, there's different ways that you get paid, right? And then there's show rate considered or factored in. So there's different ways there. This one's a little bit more straightforward. Let's say we're talking a fitness coaching offer. Let me back, uh, let me back these out. Okay, fitness coaching offer, sake of the example. They're saying you can make $11,000 a month. Well, last month they did $175,000. Let's say their program is $4,000. They have 2 closers. They want you to work Monday through Friday, give or take 22 days. They want you to take at least 5 calls a day. Show rate is 70%. Close rate, they're hoping you can close at 20%. Base pay, zero. Oops, zero. And commission, let's say you're on 12.5%. That's not right. Hold on. This has to be a decimal, 0.125. Okay. Now, expectation. If you can hit these KPIs, they're expecting you to close 15 deals a month, about $62K in revenue per month. And at 12.5% commission, you're not quite at $11 grand. Okay, so this is a pretty good amount off. Now, this is just based on the cap, or like this portion right here. Okay, now expectation of the existing team, there's 2 other closers right now, you just double this one, probably paying about $15K out based off of this. And the expectations of new team with you, $23K in commissions. Now, what are they currently doing? This, this is You know, where this calculator can become very handy because it lets you see the data in different ways. Currently, based off the revenue, like these numbers aside, based off the revenue just divided by the number of sales reps, it's closer to that advertised OTE. So maybe these numbers aren't, you know, super, super accurate. Maybe they're fluctuating, but according to this revenue last month, And this number of closers, each closer is making about $11,000, like $70 or $60 off, $62. Okay, so that times 2, as the team stands, that $11K adds up. Now when you come over here, current individual versus individual expectations, it is exceeding 100%, which is good. This is a good sign. This is below $100,000. So, you know, they would be again projecting growth. They'd be projecting growth because if you just popped in here as a 3rd closer and they're doing $175,000 and they don't increase the lead flow, this number is gonna go down. What the sales reps are actually earning. So take it with a grain of salt. You know, in this case, if I ran these numbers for an offer, I would go back to them. I'd be like, hey, kind of running the numbers. This is what I'm seeing. Can you attest to it? Like, is this accurate or am I missing part of the picture? And that, you know, as long as you come off in a professional manner, that's going to look good on you because you're running the numbers, you're taking responsibility for this stuff, which, you know, are likely the traits of a good closer. So last thing in here, y'all, and that's it. It's pretty self-explanatory. I just wanted to make this video to Just make sure it doesn't get mis— misrepresented or mistaken for something that it's not. If you have other— like here you're inputting data. If you have anything else that you just want to like keep track of, you could drop it in here. Obviously, guys, feel free to make a copy of this and then add your own stuff. Last thing I'll say is if you watch this far in the video, This is actually a part of the community program. There's about 20 hours content in here. I actually run through live examples in the community course here. And here's that sheet linked, live examples in there, a lot of other stuff. So little plug, hope you guys don't mind. If you guys wanna join, get the OTE calculator and all the other stuff, check out the link in the description. If you don't want to join, cool. Take this OTE calculator, go make some money, come back, hop in. I'll see you guys soon. Thanks for watching.