Understanding Commission
An Associate’s Guide to Macy’s
Commission Pay Plans
California
Fine-Tuning to Drive Sales:
(
Paid Time Policy
,Table of Contents
Topic Page
1 Overview p3
How Commission Pay Plans Work
Your Next Steps
2 How All Commission Pay Plans Work at Macy’s p4
Commission Pay
Important Definitions
Calculation of Net Sales
Commission Rates Applied to Net Sales
Commission Pay Calculation and Payout Timing
Tracking Your Personal Sales and Commissions
Commission Allocation Adjustments for “Split Sales”
Sales Enhancement Duties
Non-Selling and Non-Productive Time
Maximizing Your Commission Pay
Additional Non-Commission Opportunities
Final Pay in a Commission Pay Plan
Questions About Your Commission Pay
3 Draw vs. Commission (“DVC”) Pay Plan P13
How DVC Works
Hourly Rate: Standard Hourly Rate and Hourly Draw Pay
Commission Pay
Gross Commission
Net Commission
Deficit
Payment of Commissions
Hourly Rate Adjustments
Benefit Rate for DVC Associates
Non-Productive Time for DVC Associates
Performance Review and Merit Process for DVC Associates
4 Base Plus Commission (“Base +”) Pay Plan P18
How Base + Works
Commission Pay
Base Pay
Commission Pay
Payment of Commission Pay
Benefit Rate for Base + Associates
Non-Productive Time for Base + Associates
Overtime Eligibility for Base + Associates
Performance Review and Merit Process for Base + Associates
5 Associate Acknowledgement P21
Understanding Commission (CA State) Page 2 of 21 September 2013
, Overview
In select areas in our stores, we offer two types of commission pay plans designed to help build your
pay as you grow your personal sales. This document will explain how our Draw vs. Commission (“DVC”)
and Base Plus Commission (“Base +”) pay plans work.
How Commission Pay Plans Work
Associates in a commission pay plan may receive a portion or the majority of their compensation as
commission pay. This commission pay is based on several things, including the merchandise sold, the
commission rate applied at the time of the sale, and other factors. Depending on the type of
commission pay plan that applies to your position, your pay is determined by a specific calculation that
includes Net Sales and, for DVC associates, the applicable Hourly Rate (comprised of your Standard
Hourly Rate and Hourly Draw pay) (defined below) and hours worked. Under a commission pay plan,
commissions are paid out on a different cycle than hourly pay.
Your Next Steps
Keep this booklet handy so the information you need about your commission pay plan is readily
available. This booklet refers to a number of other documents available on In-site (an internal
Company website). These documents give you additional and important details about your
compensation, including commission pay. In-site is available to you 24-7, so be sure to review these
documents to ensure you understand all the information about your commission pay plan.
For newly hired employees, or incumbents transferring into a commission pay plan from a non-
commission pay plan or transferring from one commission pay plan to another (e.g. from DVC to Base
+), after you have reviewed all the information and met with your Manager, please sign the Associate
Acknowledgement and return only that page to your Manager. Feel free to make a copy of the signed
acknowledgement for your records. Once you have acknowledged the document, if there are changes
in the way our plans work, you will receive notice of those changes.
As always, should you have any questions about your compensation, please contact your Manager or
Human Resources (“HR”) representative.
Understanding Commission (CA State) Page 3 of 21 September 2013
An Associate’s Guide to Macy’s
Commission Pay Plans
California
Fine-Tuning to Drive Sales:
(
Paid Time Policy
,Table of Contents
Topic Page
1 Overview p3
How Commission Pay Plans Work
Your Next Steps
2 How All Commission Pay Plans Work at Macy’s p4
Commission Pay
Important Definitions
Calculation of Net Sales
Commission Rates Applied to Net Sales
Commission Pay Calculation and Payout Timing
Tracking Your Personal Sales and Commissions
Commission Allocation Adjustments for “Split Sales”
Sales Enhancement Duties
Non-Selling and Non-Productive Time
Maximizing Your Commission Pay
Additional Non-Commission Opportunities
Final Pay in a Commission Pay Plan
Questions About Your Commission Pay
3 Draw vs. Commission (“DVC”) Pay Plan P13
How DVC Works
Hourly Rate: Standard Hourly Rate and Hourly Draw Pay
Commission Pay
Gross Commission
Net Commission
Deficit
Payment of Commissions
Hourly Rate Adjustments
Benefit Rate for DVC Associates
Non-Productive Time for DVC Associates
Performance Review and Merit Process for DVC Associates
4 Base Plus Commission (“Base +”) Pay Plan P18
How Base + Works
Commission Pay
Base Pay
Commission Pay
Payment of Commission Pay
Benefit Rate for Base + Associates
Non-Productive Time for Base + Associates
Overtime Eligibility for Base + Associates
Performance Review and Merit Process for Base + Associates
5 Associate Acknowledgement P21
Understanding Commission (CA State) Page 2 of 21 September 2013
, Overview
In select areas in our stores, we offer two types of commission pay plans designed to help build your
pay as you grow your personal sales. This document will explain how our Draw vs. Commission (“DVC”)
and Base Plus Commission (“Base +”) pay plans work.
How Commission Pay Plans Work
Associates in a commission pay plan may receive a portion or the majority of their compensation as
commission pay. This commission pay is based on several things, including the merchandise sold, the
commission rate applied at the time of the sale, and other factors. Depending on the type of
commission pay plan that applies to your position, your pay is determined by a specific calculation that
includes Net Sales and, for DVC associates, the applicable Hourly Rate (comprised of your Standard
Hourly Rate and Hourly Draw pay) (defined below) and hours worked. Under a commission pay plan,
commissions are paid out on a different cycle than hourly pay.
Your Next Steps
Keep this booklet handy so the information you need about your commission pay plan is readily
available. This booklet refers to a number of other documents available on In-site (an internal
Company website). These documents give you additional and important details about your
compensation, including commission pay. In-site is available to you 24-7, so be sure to review these
documents to ensure you understand all the information about your commission pay plan.
For newly hired employees, or incumbents transferring into a commission pay plan from a non-
commission pay plan or transferring from one commission pay plan to another (e.g. from DVC to Base
+), after you have reviewed all the information and met with your Manager, please sign the Associate
Acknowledgement and return only that page to your Manager. Feel free to make a copy of the signed
acknowledgement for your records. Once you have acknowledged the document, if there are changes
in the way our plans work, you will receive notice of those changes.
As always, should you have any questions about your compensation, please contact your Manager or
Human Resources (“HR”) representative.
Understanding Commission (CA State) Page 3 of 21 September 2013
