Compensation Methods: Paid Price vs Set Price
On July 29, 2024, the Inspire by STX v4.1 update added new compensation method options and the Gross Service Sales and Gross Product Sales were renamed to be Service Sales - Paid Price and Product Sales - Paid Price.
| Ticket Type | Promotion Applied | Reward Redeemed | Package Used | Price Adjustment |
Ticket Examples | Service $30.00
Promotion -$5.00
Product $15.00
Promotion -$5.00
| Service $100.00
Reward Disc. -$5.00
Product $20.00
Reward Disc. -$5.00
| Service $50.00
Package Discount $5.00 | Service $75.00
Adjusted to $100
Product $20.00
Adjusted to $19.00 |
| COMPENSATION METHODS | EXPECTED RESULTS | EXPECTED RESULTS | EXPECTED RESULTS | EXPECTED RESULTS |
Service Sales - Set Price | $30.00 | $100.00 | $50.00 | $100.00 |
Service Sales - Paid Price | $25.00 | $95.00 | $45.00 | $100.00 |
Product Sales - Set Price | $15.00 | $20.00 | n/a | $19.00 |
Product Sales - Set Price | $10.00 | $15.00 | n/a | $19.00 |
Using the examples above, see how the software would calculate based on the chosen compensation method.
Service Sales - Set Price uses the service amount either assigned to the worker in Setup Worker Details when a level is selected or a custom price is entered or if the price is manually adjusted during checkout, it will use that amount. This method will ignore any promotions, rewards or package discounts applied.
Service Sales - Paid Price uses the service amount paid on the ticket. This method will deduct any promotions, rewards or package discounts applied from the service amount. If the price is manually adjusted during checkout, it will use that amount regardless if it is higher or lower than the set price.
Product Sales - Set Price uses the product amount either assigned in Setup Products or if the price is manually adjusted during checkout, it will use that amount. This method will ignore any promotions or reward discounts applied.
Product Sales - Paid Price uses the product amount paid on the ticket. This method will deduct any promotions or reward discounts applied from the product amount. If the price is manually adjusted during checkout, it will use that amount regardless if it is higher or lower than the set price.
Related Articles
Setup Compensation Methods
On July 29th, 2024 the Gross Service Sales was renamed to be Service Sales - Paid Price and Gross Product Sales was renamed to be Product Sales - Paid Price. For more information, visit Compensation Methods: Paid Price vs Set Price. Inspire offers ...
Compensation Method Glossary
The glossary below helps identify the variables noted in Setup Compensation Methods. Click Here for examples of common Compensation Methods. Actions Start With - The default first Step 1 or if you would like to identify a new calculation within a ...
What is a Product Gross Margin?
The Gross Margin is: (Product Price - Standard Cost) ÷ Product Price = Gross Margin % Example: Daily Shampoo Product Price is $20.00, the Standard Cost is $10.00 ($20.00 - $10.00) / $20.00 = 50% Gross Margin Note: Gross Margin cannot exceed 100%
Secondary Compensation Method
Secondary Payroll Methods are ideal for when businesses need to pay their workers at two different intervals. An example would be if a worker was paid hourly plus service commission bi-weekly but then is paid quarterly their retail commission. To ...
How does a standard gross margin work?
Products by default can have a Standard Gross Margin that would apply to all the products in that product line. To set a Standard Gross Margin, follow these steps: Go to Setup > Setup Product Line Select an existing Product Line (or create a new ...