The Herbalife Compensation Plan is a step-like stepping-out compensation plan similar to Amway. When you join Herbalife, you get some income such as retail, wholesale, royalty and bonus.
As a distributor of Herbalife theoretically you can earn a 25% retail profit when selling Herbalife products. In theory, eBay sees products sold in a way that Herbalife is below the retail price.
The first status level of Herbalife's compliance plan is a distributor. Senior consultant, supervisor, world team, active world team, get team, millionaires team, president team, chairman club founder's circle.
When the distributor reached 2500 volume points in 2 months or reached 4000 volume points in the calendar month, we switched to supervisor status. As a supervisor, they are entitled to 50% retail profit, wholesale profit and royalty income.
Herbalife distributors have the right to sign up to other distributors and sell their products. Since these people are in your downline, the sales quantity will be your personal sales quantity. Therefore, if more distributors are sold faster, they can reach up to 2,500 in 2 consecutive months, or 4000 in 1 month, and you can proceed to supervisor status level.
One reason why the Herbalife compensation system is considered a withdrawal plan is for what happens when people in the downline advance. Let's use an example. Let's say you are in a supervisor of Herbalife, there are five distributors under you, each distributor has 500 volumes per month. So what happens? By combining them you get 5% royalty income for your subordinate, even if you do not sell anything yourself.
One of the five distributors took off, finished the volume with 4000 next month, is the new level supervisor of the same level. Now I used my volume and helped me to achieve the personal volume 2500 necessary to gain royalty income as I departed from your personal volume. So next month, you will need to replace the personal volume that you lost to get a complete royalty income.
In order to raise the status, the supervisor needs to do 10,000 on the personal volume to achieve the world team. In order to proceed to the team, the volume requirement is 20,000 organization volumes for 3 consecutive months. As a member of Get Team, you earn 2% bonus on downline organization and you will be eligible to win the next production bonus.
This is where the next separation occurs. Suppose you have 25,000 team members on your organization volume. In this case you earn $ 500 with bonus income. This example is complicated by qualifying one of the supervisors who just completed 20,000 3 months with the volume of the organization to earn this month's bonus. what happens? The volume is the same, but the organization volume is 25,000 and the organization volume is 20,000. He now earns $ 400 in bonus and earns $ 100 only in bonus incom. This can happen at any level, Get, Millionaire, President, etc. This clearly shows that the development of leadership may have a financial adverse effect on you with a split and salary model.
