Variable Compensation
topic on 2 shows · 2 statements across 2 episodes
the Official SaaStr Podcast
20VC
2 statements about Variable Compensation, every show
Startups should avoid heavy variable compensation for their first sales hires
“Variable compensation is an excellent lever at the right time, and I don't think the right time is going to be your first couple of hires, because you got no data, and if we're looking statistically at someone having, you know, let's call it between 50 and 30%…”
Lemkin: Employees disproportionately fixate on variable bonus criteria
“My obvious learning is that people over index on variable comp. You pay someone a 100,000 dollars a year with a 2000 dollar bonus. You know what they do all day long? Whatever they get the 2000 dollar bonus for. That's all they do.”