Benefits for Staff paid by commission.

[Guest Jocelyn Ferguson]

I'm researching what is being offered to staff who are paid on a commission basis only.

What benefits are provided? Who pays? How are the benefits that are based on salry handled and coverage amounts? Risks?

[Guest nac]

Insurance company - all agents are paid on commission basis. Agents must meet and maintain certain production levels to be eligible for subsidized benefits. Production levels are assessed once a year for the upcoming 12 month period. If you haven't met the minimum, you're out for the next 12 months.

401(k) participation has a 12-month waiting period, again eligible if production requirements are met.

Biggest problem with either type is ee contribution and 401(k) loan arrearages - agents don't have a steady income stream and conceivably can have zero commissions one month and $10K the next. We allow them 3 payroll cycles of arrearages; they then get COBRA'd off health until they repay arrears. Supposedly we also 1099 defaulted loans, but I think we grant a little more leeway on those.