Tuesday, July 16, 2024

How Much Commission Does A Solar Salesman Make

Why Solar Sales Is A Prospective Career In 2021

How to earn extra money selling solar

President at CRMDialer & IRIS CRM. Overseeing the growth of e-commerce payments & writing on payments, growth hacks & SMB efficiency.


It is estimated that by 2024, 2.5% of all homes in the U.S. will have a solar installation. While that may not sound like a huge number to some, its a vast market to explore. To get to that number, solar companies not only have to cover a huge network, but they have to get quite a few contracts signed as well. This is where sales comes in, and for this reason, a career in solar sales may be an attractive one to pursue in the years to come.

My company has been working in the B2B CRM sector since 2018, and our No. 1 request from new customers has been from the solar sales industry. The solar industry boom is here.

There is a value proposition.

For sales professionals in the solar industry, its not unusual to face a tough crowd, especially on a cold call or visit. Many potential customers are not aware of the current state of the climate, and pitching them with the chance of making an impact on climate change often results in words falling on deaf ears.

Sales Compensation Plan Examples: Alarm And Security Door To Door

Start with training salary of $2000/mo for month 1, $1500 for month 2, $1000 for month 3 and $500 for month 4. Rep also receives $500/mo auto allowance. Commissions range from 10-18%.

We pay $500 minimum commission per sale.

5x monthly contracted revenue paid out in 2 installments at signing and at 6 month anniversary. Once successful, converts to 3 month draw against commission of $2,000/month.

We pay 10% commission on profit of each sale.

Commission plus $2,000 guarantee against commissions per month. iPad, iPhone and full benefits after 90 days plus bonuses.

Sell 1 new account per day and make $100,000.

Earn $200-$500 per sale

Experienced reps are guaranteed $650 per sale.

What Do Solar Salespeople Do

Jenna Ahlman, an inside sales representative at Blue Raven Solar based in Utah, spends her day calling prospective solar customers over the phone to see if their homes are a good fit for solar. Ahlman is a solar salesperson, and her role is the link between solar companies and the people they serve.

I spend my day talking to people who say theyre curious about solar but arent convinced that they should look into it. I tell them why its important and give them information, said Ahlman.

Residential solar salespeople spend their time gathering leads, explaining the value proposition of solar to interested people and following up with potential customers.

Solar sales can be broken out into two types of jobs: inside and outside sales.

Inside solar salespeople connect with households over the phone, calling lists of potential leads or responding to inbound inquiries to talk with the goal of arranging a time for another salesperson to visit the customers home.

Dont want to sit at a desk? Outside salespeople usually start their career in solar sales by canvassing door to door to set up appointments, before moving into a more senior position that entails longer, more detailed home visits. Viktoriya Vorobyova from Venture Solar, who is based in Brooklyn, New York, described it as like cold-calling but in person.

Not all solar companies have door-to-door canvassing teams, but it remains a mainstream tactic for local installers.

Also Check: How Many Solar Panels For 800 Sq Ft Home

Sales Compensation Plan Examples: Advertising Sales

Note: Average commission for this position is 20%. Some clients offer a base salary with ability to grow to 25% commission.

20% commission for each new advertiser plus 10% of advertisers spend for year 1. After year 1 you earn 1% for life on ad spend.

$10/hour for first 6 weeks, then 8.25/hour. Commission rate is 23-25%.

Base salary of $2,750/month with 4-8% commissions on gross. Commissions depend on price per spot.

$25,000 base salary plus 15% uncapped commission rate

25% straight commission plus bonuses

Agents receive an exclusive territory and 25% commission on gross revenue.

30% commission.

20% commission for W2 employee or 30% for 1099 and you generate your own leads.

20% starting commission with ability to move to 25% and a base salary.

20% commission to start and then 25% after 30 days.

$200-$325 weekly base pay plus 20% commission

25-30% straight commission on ad sales

20% straight commission

20% commission

20% commission plus $10k/year to cover auto expenses, plus bonuses and healthcare after 90 days

20-33% commission range

We will consider a draw for the right person. Reps get 35% of the garment cover which is $2,100.

25% commission plus residuals

20% for each new advertiser and 10% of the ad spend for that client for 1 year.

20% straight commission

$30,000 base plus 10% commission.

$450/week base plus 8.5% commission

30-$45,000 base plus 15% commission

Base salary of $2,000-$3,000/month plus 20% commissions with no cap.

$15-$20/hour plus 20% commission

Look At Productivity Levels

How Much Does a Car Salesman Earn: Salary &  Commission p ...

Do all of your reps perform at the same level? Unlikely

Like most other organizations, your sales department probably has both high and low achievers. If so, consider some kind of tiered commission structure to reward your best sellers and encourage your weakest ones to step up their games.

As we mentioned earlier, money can be a great incentive. If you want your reps to close more deals, increase their commissions once they hit certain thresholds.

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Top 4 Reasons To Consider A Career In Solar Sales

You may have seen job openings in the solar industry but still wondering if solar is a good career choice for you.

According to the 2019 National Solar Jobs Census released by The Solar Foundation, American solar jobs have increased 167% over the past decade, adding 156,000 jobs.

But why should you consider working in the solar industry?

Here are our top 4 reasons why.

Scary Car Salesman Earnings

Lets take a little closer look at these numbers about how much do car salesmen make. If we break this down a little further the bottom 10% of car salesmen are earning about $18,000 a year and the top 10% are earning about $75,000 a year or more. If we break that down even more the bottom 10% are earning an average of hourly wage of about $8.70 an hour and the top 10% are earning about $36.00 an hour . Remember, I am using the numbers from United States Bureau of Labor and Statistics.

Have you changed your mind about how to become a car salesman yet? Well, dont be too quick to pass judgment on a car sales career just yet. Dont let these numbers scare you because a variety of other reliable sources are reporting how much does a car salesman make as being considerably higher. These other sources also have looked at the professional car salesman earnings a little closer and they are stating that there is a difference between salespeople that sell new cars or used cars and a combination of both .

Also Check: How Does Solar Save You Money

Measuring The Salespersons Performance

You need to have sales software that will allow you to easily access data like the number of sales you have, the number of completed sales from set appointments, goal value of sales, and system sizes by the salesperson.

These insights allow you to see who on your team may be better-suited to selling larger jobs. You should devote some resources to properly assigning leads to your team based on their performance in each of these areas.

How Much Do Solar Sales Reps Make In 2021

How Much Do Car Salesman Make? Monthly Commission & Per Car (EXACTLY)

Stan T.

Solar Sales Reps contact new or existing customers to determine their solar equipment needs, suggest systems or equipment, or estimate costs.

Entry-level Solar Sales Representatives and Assessors with little to no experience can expect to make anywhere between $42,820 to $59,590 per year or $21 to $29 per hour. Similar to any other job, their salary will increase as they gain experience.

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Margin Splits The Above Base

Some installers use margin splits instead of flat percentages above base. In a similar example to the multipliers above, salespeople are rewarded for higher-margin sales. Deals booked at more than say, 5% of base qualify for a base compensation plus a margin split between the company and salesperson above the base amount.

In practice: Marty sells a 6kW system for $22,000, which is more than 5% of the expected sales amount of $20,000 for a system this size. Marty gets a base payment of $1,000 for the deal, and the additional $2,000 gets split 50/50 between the installer and Marty. Marty pockets a total of $2,000.

Takeaways: This margin split arrangement heavily incentivizes Marty to jack prices up. Instead of netting $1,000 for a job, he can double his paycheck by adding a few thousand dollars to the installed price.

The risks outlined in the above multiplier tier example are multiplied by at least a factor of two here. Expect lower close rates. Marty is going to attempt to add $2,000 to the price of every job. Unless you are closely monitoring expected value per close, you may lose sight of the heap of revenue you could have been earning by winning more deals instead of higher-margin deals.

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How Much Does A Solar Sales Make

As of Nov 3, 2021, the average annual pay for the Solar Sales jobs category in the United States is $81,024 a year.

Just in case you need a simple salary calculator, that works out to be approximately $38.95 an hour. This is the equivalent of $1,558/week or $6,752/month.

While ZipRecruiter is seeing annual salaries as high as $178,500 and as low as $13,500, the majority of salaries within the Solar Sales jobs category currently range between $36,500 to $107,500 with top earners making $154,500 annually across the United States. The average pay range for a Solar Sales job varies greatly , which suggests there may be many opportunities for advancement and increased pay based on skill level, location and years of experience.

Based on recent job posting activity on ZipRecruiter, the Solar Sales job market in both Samara, RU and throughout the entire state of is not very active as few companies are currently hiring. People working within the Solar Sales category in your area are making on average $81,024 per year, or the same as the national average annual salary of $81,024. ranks number 1 out of 50 states nationwide for Solar Sales job salaries.

To estimate the most accurate annual salary range for Solar Sales jobs, ZipRecruiter continuously scans its database of millions of active jobs published locally throughout America.

Find your next high paying job within the category on ZipRecruiter today.

Also Check: How To Measure Sunlight For Solar Panels

Paying On Sales By Product Grouping

Your company strategy may help shape what your salespeople are paid. For example, say you have just sourced high-margin battery backup and inverter suppliers. You may consider bundling groups of these high-margin products together into separate sales commission percentages.

In practice: Elise sells a 6kW solar-plus-DC-coupled battery system for $30,000, qualifying for an 8% base commission instead of 5% for the solar installation alone. She pockets $2,400.

Takeaways: This commission structure encourages salespeople to spend time learning about and selling strategically important products. The commission difference between 5% and 8% for a particular battery supplier was noticeable enough to turn focus toward discussion of their solutions, ramping up profitability. This approach can make a lot of sense for a variety of solar installers.

Sales Compensation Plan Examples: Roofing And Storm Restoration

How Much Does a Car Salesman Make? (Earnings and ...

10% of the total sale seems to be the standard in the roofing restoration business.

10% of total contract. Incentives and bonuses after $250,000 in sales.

We pay based on sales invoice minus costs for office and materials. Sales rep receives 50% of profit after costs. If invoice is $20k and material and office cost is $14k, remaining profit is $6,000 and rep makes $3,000.

Average commission is $800-$2000 per job and paid 50% upon turn-in. 4 week paid training. Paid housing at storm location along with 75% paid medical and dental.

Paid Housing, $10k per year on average. 7 weeks of paid training at $375/week. Gas allowance, $75/week. Paid cell hot spot, $140/month. Health insurance and we pay 50% of your HSA deductible. Profit sharing. 401k. Vacations.

10% of gross sale. 401k and medical insurance.

10/50/50 Split. 10% off the top and 50% of the profit goes to the roofing sales rep.

7.5% of the total price of roof.

12-15% of the overall claim.

6% commission until proven, then 10%.

4% of initial contract signed.

40% net income paid on all completed claims.

Commissions range from 3-10% depending on experience.

10% commission on first $800k in sales. 11% until 1m and 12% over 1m in sales.

7-10% of total job depending on experience for in-home sales reps. Canvassing reps make $20 per inspection.

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Sales Compensation Plan Examples: Energy Deregulation Door To Door

100% commission after the first 8 weeks. First 8 weeks non-recoverable draw of $550/week guaranteed.

7% straight commission.

Average sale is $16,000 with a range of $8,000-$110,000. Commission averages $480 per sale and ranges between $240-$3,300.

25% on personal production, no overrides. At 250,000 kwh = $1,125 per week or $2,250 at 500,000 kwh.

40% commission plus bonuses.

How Much Do Car Salesmen Make

One of the most asked questions of anyone considering a car salesman career is how much do car salesmen make. My standard answer is that they make as much as they want to make because they work for a car sales commission. In other words their earnings are based on the amount of cars they sell, which is dictated by the specific pay plan that the dealership uses to compensate their salespeople. If you check out the Bureau of Labor and Statistics you will discover that in 2011 the average car salesman earned slightly over $42,000 a year for an average of about $20 an hour. That averages out to approximately 42 hours a week. Not what I would consider the average hours worked where car salesmen are concerned, but we will get into that later. If are wondering do car salesman get paid hourly you need to learn more about working on commission and the earning potential available to the car salesperson.

Also Check: How Many Panels Needed For Solar Home

Paying Commissions Based On System Size

In this commission arrangement, your salespeople get paid at set system size amounts. The base price commission is static, and published in tiers linked to system sizes.

In practice: Jeff sells four solar systems over the course of a week. Two are 6kW, one is 4kW, and another is 10kW. He gets $1,000 apiece for the 4 and 6kW systems, and $1,400 for the 10kW system.

Takeaways: The salesperson has no individual incentive to inflate the price of that size system higher, since they will not receive more commission for doing so. It protects both the customer and the company from estimates that are way out of range.

However, care needs to be taken to properly ensure each system is sized appropriately to the amount of usage of your customers. Jeff may be tempted to sell more solar than is actually needed, so you may have to regularly ensure your customers best interests are honored.

While there is limited consideration for profitability in this model, the benefit to this structure is its focus on sales volume instead of profit per deal. If your business is in a mature place where you can readily ramp up sales, this structure is worthy of your sincere consideration.

Paying A Salesperson: Commission On Sales Not Profit

Car Salesman Reveals How Dealership Employees Get Paid and Why It Matters To Customers

Nothing happens until somebody sells something . . . for a profit.

If you employ a salesperson to help you sell something, for a profit, you need to pay them for their services. I am a firm believer in paying sales people by commission, a percent of the gross sales price of the job.

Paying commission based on gross or net profit seldom works for long, because the salesperson has no control over how the job is built and isnt able to keep watch on job costs. They arent responsible for building the job, so their pay shouldnt be dependent on how efficiently the job is built. Many business owners use this method to keep their salespeople from selling a job cheap.

There are better ways to prevent having jobs sold short review and approve every contract before its final. Every estimate should be reviewed before the price is quoted every contract should have a clause stating its subject to office approval.

You must be fair and pay a commission that makes sense. In my experience, for remodeling or renovation jobs, 8% of gross sales is about right, with the opportunity for bonuses based on performance. All the good contractors I know pay their salespeople at least 8% or more with bonuses that can add an additional 4% to that figure for a total commission of up to 12% of the sales price.

A quality salesperson will earn every bit of what you pay them, because nothing happens until somebody sells something.

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How Much Do They Make

Average salary

Average hourly wage

Entry-level Solar Sales Reps with little to no experience can expect to make anywhere between $42,820 to $59,590 per year or $21 to $29 per hour.

Salary by experience

Best personality type for this career

People with this personality likes to start and work on projects. They also like leading people and making many decisions.

The Builder

People with The Builder personality type likes practical and hands-on work. They prefer working with plants, animals, and real-world materials like wood, tools, and machinery.

The Thinker

People with The Thinker personality likes to work with ideas that require an extensive amount of thinking. They prefer work that requires them to solve problems mentally.

The Artist

People with The Artist personality likes to work with designs and patterns. They prefer activities that require self-expression and prefer work that can be done without following a clear set of rules.

The Helper

People with The Helper personality type likes to work with people and in teams. They prefer work that allows them to build relationships with others.

The Leader

People with The Leader personality likes to start and work on projects. They also like leading people and making many decisions.

The Organizer

People with The Organizer personality type likes to follow set procedures and routines. They prefer working with data and details more than with ideas.

You can read more about these career personality types here.


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