California-Compliant Commission Plans

Custom Sales Compensation That Motivates Your Team — Without Exposing You to Lawsuits.

At the Law Offices of Eric A. Boyajian, APC (LOEAB), we proudly craft fully compliant commission plans and agreements tailored to your industry, sales structure, and business goals — ensuring you motivate your team while staying 100% within California's strict wage laws (Labor Code §§ 200–204, 2751, and related statutes). A poorly drafted commission plan is one of the fastest ways to trigger expensive wage & hour claims, PAGA lawsuits, waiting-time penalties, and Labor Commissioner audits. We prevent that — while helping you design plans that actually drive performance and growth.

What’s Included in Our Custom Commission Plan Service

• Clear, Enforceable Commission Formula — Precise calculation methods that survive DLSE audits (percentage of sales, tiered bonuses, draws against commission, etc.)

• Required Written Agreement (Labor Code § 2751) — Fully compliant individual or group commission contracts signed before work begins

• Timing & Payment Rules — Guaranteed pay dates, final commission on termination, forfeiture clauses that hold up in court

• Expense Reimbursement Protections — Rules for sales-related costs (travel, phones, samples) so you avoid reimbursement claims

• Bonus vs. Commission Classification — Proper structuring to prevent misclassification as discretionary bonuses

• Integration with Handbook & Offer Letters — Seamless policies on advances, chargebacks, territory changes, and quota adjustments

• Optional Arbitration & Dispute Clauses — Recommended protections that reduce litigation risk

• Delivery — Professional PDF + editable Word templates, plus acknowledgment forms

Why California Businesses Trust LOEAB for Commission Plans

• Deep Expertise in California Wage Law — We've defended and prevented countless commission disputes, saving clients millions in penalties

• Industry-Specific Customization — Real estate, tech/SaaS, medical devices, retail, insurance, solar — we know what works (and what gets sued) in your field

• Flat-Fee Pricing — Transparent costs upfront (typically $2,000–$4,500 depending on complexity) — no hourly surprises

• Fast Turnaround — Complete plan delivered in 5–10 business days, with one round of revisions included

• Growth-Focused Design — Transparent, motivating structures that attract top sales talent while protecting your bottom line

Most clients add this when hiring their first salesperson, switching to commission-based pay, or cleaning up after a Labor Commissioner complaint. Don't risk years of disputed commissions turning into a six- or seven-figure liability. Get a compliant, effective commission plan that empowers your team and protects your company.

Motivate. Comply. Succeed. Trust LOEAB for commission plans that work — legally and strategically.