How Do Lumber Salesmen Get Paid?

curapa

I have often wondered how my lumber and vinyl salesmen are paid. I assume its usually salary plus commission. Any idea as to what percent of the sale? I thought it might be a bit rude to ask them personally.

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CookeCarpentry

I know my lumber guy makes a solid salary and then I want to say 1% commission - through the grapevine, so to speak.

My window/siding and sometimes roofing guy has a trivial salary then a higher commission....or so I am told.

...this post was of no help....

freemason21

generally its commission and a salary. i worked at a lumber yard and thats how they usually did it.

deckman22

I worked as a lumber salesman for about a year in 05', got paid straight salary no commission. Occasionally the boss would give bonus's of .10 lf to move certain kinds of wood.

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eisert

I think my lumber rep gets salary, plus 10% bonus for every order he screws up. Another 10% bonus for every unusable peice of crap board that he sends me, and another 5% for every item that I order that he doesn't write down and put on my delivery ticket.

jkfox624

You know that makes some sense. For me though i can say it all falls on the "yardtards" putting the order together. I think we got 4 deliveries one day 3 of which were for wrong or forgotten mats.

Jayrek

To they tell you how to run your project, what materials you should be using, what you should be doing, and generally act like they were smoking meth and crack in the can?

Small salary and big commish.


Do they listen to you, give good practical advice, explain your options, and do what you want?

Good salary and small commish.

kylemfk

I am in outside sales for a siding/roofing type distributor. All our pay is commision. We get a draw of X dollars per month. Earn more than X in a month you get a check end of month, earn less and you go in the hole and hope to make it up next month. Every single item pays no matter how big or small, all based on profit tiers. There is a minimum profit margin to qualify for commision. (i.e. have not made a dime on an roofing shingle in over a year lmao.) Also penalized for 60 and 90 day payments, after 120 days late I get nothing. I've had plenty of 6 figure accounts that I busted my butt for go over 120 days, lots of work for no pay but it's part of the deal. It is tough, tough stuff so hug your salesman tomorrow.

oldfrt

When pricing several suppliers for total material costs on a project,I oftened wondered if the sales person had to take a cut in% to make a sale.

Also,if say,you cover my territory,and I call the orders in myself,do you still get your%.

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kylemfk

You are correct, when I drop price I reduce or lose my cut.


If I am your sales rep (I established the account and service you) If you go to the counter or call the office I still get my cut.

jtpro

That's the wat it should be. Helps to put a Kybosh on back stabbing.

dvon104

I am currently and outside sales rep and have been one for about 15 yrs for a few different lumber yards.....everywhere I have worked its anywhere from 20 to 3 % of gross profit margin dollars....20% of gross profit with NO base salary or gas,phone or expense allowance ...where I have been now for the past several years ..I get a salary plus 2% of gross profit and expense allowance of 750.00 per month but expense is based on volume over 100k= 550.00 for gas...200.00 for cell and misc. under 100k per month = 350.00 and 200.00.........if invoices go into 90 days we file liens and and sales dollars are subtracted from that months sales...example...I sell Joe Builder 35,000.00 framing package in Jan. and he pays none or say 20,000.00 liens will be filed in the end of April and 15,000 will be deducted off my sales for the month of April...I take a hit in my pocket when my contractors do not pay and the "AVERAGE" salesman makes less than 50k a yr..I know sales reps that make upwards of 175k per year but that is not the norm and in these market conditions VERY RARE.
To the builders who really talk bad about sales reps on here ...dont use a rep go to Home Depot...I mean if we are sooo incompetent and lie and all the other stuff I have read on hear about reps...do your own take offs...run your own errands (need nails asap or hangers etc. what ever it may be)
We are just trying to a good job with what we have to work with...Amazing now that times are slow the number of "builders" in my market that are now sales reps because of "insurance , steady check etc" ...but to the rest of you ...please keep up the good work...hold your head high the market will turn around and buy from your LOCALLY OWNED lumber yard...