From the desk of the "Plan Architect":
Accelerators are the gas pedal of your sales engine. But if you install a gas pedal without steering (guardrails), you're going to crash the car. Here is how to design incentives that drive revenue without blowing your budget.
Commission accelerators are the single most effective tool for driving over-performance. When a rep hits 100% of their quota, the job isn't done—it's just beginning.
The purpose of an accelerator is simple: to aggressively reward the revenue that is most profitable to the company.
Once a rep covers their base cost (OTE), every additional dollar they bring in is higher margin for the business. Sharing that upside with the rep aligns their wallet with your P&L.
But designing them is tricky. Too rich, and you create a "bluebird" culture where luck pays better than skill. Too lean, and your top performers stop selling in Q4.
In this guide, we'll cover the three core structures, the dangerous pitfalls to avoid, and the answers to the most common questions finance leaders ask.
Part 1: The Three Core Accelerator Structures
There is no "one size fits all," but there are three standard models you should consider.
1. The Standard "Tiered" Accelerator (Best Practice)
This is the most common model in SaaS. The commission rate increases in steps as the rep climbs higher above their quota.
- 0-100% of Quota: 10% (Base Rate)
- 100-125% of Quota: 12% (1.2x Multiplier)
- 125%+ of Quota: 15% (1.5x Multiplier)
Why it works: It avoids "cliffs." The rep earns the higher rate only on the revenue in that specific tier. It is safe, predictable, and motivating.
2. The "Cliff" or Retroactive Accelerator (High Risk)
In this model, hitting a specific number unlocks a higher rate on everything sold prior.
Example: "If you hit $1M in revenue, your commission rate on the entire year goes from 10% to 12%."
Why it's dangerous: It creates massive "cliffs." A rep at $990k will do anything—including bad deals, fake deals, or aggressive discounting—to get that last $10k, because it triggers a massive payout on the previous $990k. Use with extreme caution.
3. The "Single-Deal" Accelerator
This rewards specific deal behaviors rather than total volume.
Example: "Any deal closed Multi-Year gets a 2x accelerator."
Why it works: It is excellent for steering behavior toward strategic goals (like retention or multi-year contracts) rather than just raw volume.
Part 2: The Two Pitfalls That Kill Plans
1. The "Sandbagging" Trap
If your accelerators reset quarterly, smart reps will "sandbag." If a rep is at 150% of quota in Q1, they might push a deal to Q2 to ensure they hit the accelerator next quarter, too.
The Fix: Consider annual accelerators with quarterly "true-ups," or cumulative quotas that make it harder to game the timing.
2. The "Runaway Cost" Trap
You designed an accelerator for 120% attainment. But then a rep closes a massive "bluebird" deal and hits 400% of quota. Suddenly, you're paying them 3x their normal rate on a deal that fell into their lap.
The Fix: Always model your "worst-case scenario." Include a "windfall policy" or review clause in your plan documents to protect cash flow on single outlier deals.
Part 3: Frequently Asked Questions (FAQ)
What is a good multiplier for sales accelerators?
The standard industry benchmark is a 1.5x to 2x multiplier. If your base commission rate is 10%, your accelerator rate typically starts at 15%. Anything above 3x is generally considered high-risk unless the margins are exceptional.
Should accelerators apply to base salary or just variable?
Accelerators strictly apply to the Variable portion of comp (commission). Base salary is fixed compensation for the job role and does not accelerate based on performance.
When should accelerators kick in?
In almost all standard plans, accelerators kick in at 100% of quota attainment. Starting them earlier (e.g., at 80%) is technically a "decelerator" in disguise, as it implies the base rate was set artificially low.
Related Reading
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