A comprehensive explanation of USANA’s Leadership Bonus Program from Diamond Director Pete Zdanis
Here’s how it works:
1) You must be a Gold Director or Above.
2) Your business must generate at least 100 points in Personal Sales Volume (200 points for multiple Business Centers) during the current four-week period. (Basically you must be active.)
3) At least one of your personally sponsored Associates must qualify to earn their first check at a Sharer level or above every four weeks.
However, since we know that sometimes two of your personally sponsored Associates may qualify for their first check one week, and then you may go several weeks before the next personally sponsored Associate qualifies for a check, we allow you to accumulate up to 13 individuals meeting this requirement (or one year's worth) at a time.* The date of enrollment doesn’t matter; their first check date is what qualifies you. This moves your Leadership Bonus Qualification Date (found on Online Business Manager) forward four weeks each time you help a personal sponsor earn his or her first check. So be sure to watch your “L.B. Qual. Date” to avoid missing out on your shares.
Note: After five consecutive years of qualifying for Leadership Bonus (beginning January 1, 2003), Associates are considered vested, and rather than 13 Associates qualifying as a Sharer or above per year, vested Associates must have just one Associate qualify at the Believer level at least once every quarter, or accumulate up to 4 four individuals meeting this requirement (one year’s worth) at any point in time. All other rules apply.
4) You must be available by phone to your organization.5) You must actively train and supervise your downline sales organization.6) You cannot participate in any other network marketing company.
5) Leadership Bonus is calculated on maxed Business Centers.
The weekly 3 percent of commissionable sales is divided into shares. Each share has a cash value, which will fluctuate each week (with the exception of the first share, which is set at $175), and is based on the following factors:
For each Business Center (BC) you max, you receive a number of shares for the week along with all the other active leaders who qualified. Let’s suppose when we divide the pool by all the shares for a certain week it comes to exactly $200 per share (this makes for an easy math example in the scale below). Again, keep in mind that because the pool varies, as do the number of shares each week, the share value can and will vary each week.
Share Calculation Scale
Maxed BCs
1>>> 1= 1 share (1st share is guaranteed at $175 US each week)
2>>> 2+1= 3 shares (1st at $175 + 2 at $200 = $575)
3 >>>3+2+1= 6 shares (1st at $175 + 2 at $200 + 3 at $200 = $1,175)
4>>> 4+3+2+1= 10 shares
5 >>>5+4+3+2+1= 15 shares
6 >>>6+5+4+3+2+1= 21 shares
7>>> 7+6+5+4+3+2+1= 28 shares
8 >>>8+7+6+5+4+3+2+1= 36 shares
Etc.
You can see how maxing additional Business Centers is the key element of this program.
The more your business grows, the more your Leadership Bonus will grow as you progress in the plan. This is why I always tell new Ruby Directors, “This is where USANA’s Compensation Plan really starts to get fun. And if you think it’s fun at Ruby, being a Star-Diamond is a blast!”
In order for maxed Business Centers (BCs) to be eligible for Leadership Bonus, they must meet certain requirements:
A) The BC(s) must have maxed the previous week with the exception of one BC per leader. (I’ll call this your developmental center).
B) The number of maxed BCs you get credit for is limited to your current rank plus one. For instance, a Gold would be a 1; a Ruby would be a 2, an Emerald a 3, and so on. So, if I’m a Ruby Director (each week maxing 2 BCs) and happen to have a great week where I am able to max a third center one week, I would be paid like an Emerald! (3+2+1= 6 shares) Why? Because I get my Ruby shares (2 centers) plus 1 (my developmental center). We do this to encourage you to continue building toward the next level.
Note: Your developmental Business Center can vary each week (i.e., .005 this week, then .007 the next week), provided the others remain constant.
C) Consistency is key! Fluctuations in maxing centers (maxing 3 BCs one week, then 0 the next, then 1 the next, then 3, etc.) will keep you from earning your total potential in this bonus. The plan only pays on consistent maxing. So if I’m an Emerald and I max 1 center this week, I will make $175 (paid as a Gold that week). Then next week I max the same center, plus 2 additional, for a total of 3 centers. I will only get paid Leadership Bonus on 2 instead of 3 centers (2 + 1 = 3 shares) for that week. However, if the next week I max the same 3 again, I would then be paid as an Emerald for the week (3 + 2 + 1 = 6 shares) because I’m consistent. Why? We don’t want you becoming an Emerald before you’ve built 3 solid centers. Just keep in mind when it comes to Leadership Bonus—“Build It Solid”—then move on to the next center(s).
Examples
1. Chuck, an Emerald Director, maxes the same 3 centers each week (001, 003, & 006), and then maxes an additional center one week. Let’s say the share price that week was $203. Chuck would receive 10 (4+3+2+1=10) shares totaling $2,002 (9x$203+$175=$2,002) for the week in addition to his 4 maxed centers of $4,000! That’s over $6,000 for the week!
2. Now let’s say Chuck, still an Emerald, maxes 3 centers each week, but only 2 are the same and the other one is a different center each week. He receives 6 (3+2+1=6) shares totaling $1,190 (5x$203+$175=$1,190) in Leadership Bonus for the week! Add that to at least $3,000 for his maxed centers and he earns $4,190 that week. Notice how maxing 3 versus 4 BCs makes a big difference in Chuck’s check!Now, one week he maxes an additional center for a total of 4 maxed BCs, similar to example number one. But this time he doesn’t get paid 10 shares. Instead he only receives 6 shares for the week. The reason is that even though 4 centers were maxed, he had 2 centers that did not max the previous week. Remember, the goal is to build solid business centers that max each week, rather than inconsistently. And you only get one developmental BC each week.
3. Gold Directors maxing 1 center would earn $175 per week in Leadership Bonus. Once they begin to max an additional center they would receive 3 shares (2+1=3) totaling $581 (2x$203+$175=$581) in Leadership Bonus for that week, provided at least one of the centers maxes each week. Also, it’s worth noting that if you don’t max a center for a few weeks, then max, you always get paid for that first center, even if it’s the first week. So as a Gold Director, build it solid and move on to the next center(s).
I hope this helps you understand how Leadership Bonus works. It seems a bit complex at first, but after you go through this a few times you’ll begin to see how fair our Leadership Bonus is and how incredibly motivating it can be to reach new levels as a leader in USANA.
