OTE is a target, not a promise. To evaluate it, separate guaranteed base pay from target variable pay, then inspect the rules that decide whether performance receives credit and when payment is made.
This guide explains the components that can appear in an Australian SDR plan. It does not claim that every employer uses them or that one structure is nationally typical.
Underlying figures come from the QuotaClub salary calculator and the broader patterns covered in the full SDR salary breakdown.
| Component | Meaning | Example |
|---|---|---|
| Base salary | Fixed pay in the offer | A$76,000 |
| Target variable | Variable pay at target | A$24,000 |
| OTE | Base plus target variable | A$100,000 |
| Annual quota | Hypothetical credited units | 120 |
| Straight-line unit rate | Target variable divided by quota | A$200 |
| Eight credited units | Before thresholds or multipliers | A$1,600 |
Hypothetical arithmetic only. The example assumes a straight-line plan with no threshold, cap, accelerator, decelerator or reversal.
Pay mix: base, variable and OTE
A pay mix describes how much of OTE is base and how much is target variable. Calculate it from the actual offer. Do not infer it from the job title or a market convention.
For example, an offer with A$75,000 base and A$25,000 target variable has A$100,000 OTE and a 75/25 mix. That example demonstrates the maths; it is not a QuotaClub estimate of a typical plan.
- Base salary: fixed pay, subject to the employment contract and applicable workplace law.
- Target variable: the amount attached to target performance under the commission plan.
- OTE:base plus target variable at the plan’s defined target. It is not guaranteed earnings.
Confirm whether each number includes super and whether allowances, bonuses or equity have been included in the headline package. Use the same basis when comparing two offers.
The headline OTE matters less than the written rules that make it attainable and payable.
How variable converts to a per-unit rate
If a plan pays only on credited meetings, a simple starting rate is the target variable for the period divided by its meeting quota. The final payment can still change because of thresholds, accelerators, decelerators or eligibility rules.
The table below uses a hypothetical A$24,000 annual variable target and 120 credited units per year. It assumes a straight-line plan with no threshold or multiplier solely to demonstrate the calculation.
Quota and crediting rules
Meeting-based quota
A plan may credit a meeting when it is booked, held or accepted by another sales stage. Those are materially different triggers. The plan should define the event, evidence and person responsible for approval.
Ask for recent team data showing how many booked meetings were ultimately credited. Treat that as employer-specific context, not a promise about your own results.
Pipeline-based quota
A pipeline plan can attach credit to an opportunity value accepted by the employer. Ask how value is calculated, when acceptance occurs, whether later changes affect your credit and what happens when another person controls the opportunity stage.
Hybrid: meetings + pipeline
A plan can weight more than one outcome. Record each component, weighting and trigger separately so a headline OTE does not hide a target that depends on several approval gates.
What counts as a “qualified” meeting
A plan may use SQO (Sales Qualified Opportunity) or another label for the criteria that determine credit. Possible criteria include:
- Whether the prospect attended the meeting
- Prospect met decision-maker or budget criteria
- Company met ideal customer profile (ICP) fit (size, vertical, geography)
- Whether an AE or manager accepted the meeting
- Whether the opportunity progressed within a defined window
Read the exact criteria before signing. Ask what share of booked meetings received credit for the current team over a defined recent period, who calculated the figure and whether all team members were included.
Ramp schedules and guaranteed variable pay
A ramp arrangement may reduce quota, guarantee some variable pay, or do neither. QuotaClub has not found a representative public Australian dataset establishing one standard.
- Duration: the start and end dates of the ramp.
- Quota: the target in each ramp period and how it changes.
- Payment: whether variable is guaranteed, earned against the reduced target or recoverable later.
Model first-year earnings from the actual ramp schedule. A published annual OTE may assume full target performance after ramp and may not describe cash received during each pay period.
Accelerators, decelerators and caps
An accelerator increases the payment rate after a defined threshold. A decelerator reduces it below a threshold, and a cap limits payment. Current vacancies show that accelerators exist at some employers, but public ads rarely disclose the complete formula.
- Ask whether the multiplier applies only to performance above the threshold or retrospectively to the whole period.
- Ask whether different metrics have separate caps or multipliers.
- Ask whether the employer can change thresholds during the period.
Read the formula
Uncapped commission does not explain the quota, credit rules, thresholds or likelihood of payment.
Clawbacks, chargebacks, and other gotchas
Three commission-plan features to read carefully before signing:
- Clawback windows. If a meeting books but the prospect does not attend or an opportunity is later disqualified, a plan may reverse credit. Read the exact window and conditions.
- Quota resets. Confirm the measurement period and whether over-performance or under-performance carries forward.
- Plan changes. Ask when the employer can change the quota, territory, credit rules or rates, and what notice applies.
Commission-plan questions to get in writing
- What are the base salary, target variable and OTE, and do those figures include super?
- Which outcome triggers payment: a held meeting, accepted opportunity, pipeline value or another measure?
- What is the quota, when does it reset and who controls whether an outcome counts?
- Is there a ramp schedule or guaranteed variable payment, and for exactly how long?
- Is commission capped, and what accelerator or decelerator formula applies?
- When is commission earned, approved and paid?
- Can previously credited commission be reversed, and under which written conditions?
- Can the employer change the plan during a measurement period?
For the broader context on how commission fits into the AU SDR career path (junior through to BDR/AE Hybrid), see the full SDR salary breakdown. For how to negotiate a stronger commission plan at offer stage, see the tech sales career-change guide.
Sources & methodology
This guide uses Fair Work’s general commission guidance and two current employer examples. Neither vacancy publishes a complete commission plan, and together they do not represent the Australian market.
- Fair Work Ombudsman, Piece rates and commission payments: Content updated 28 May 2026. Fair Work explains how commission can operate as an incentive and notes that awards or enterprise agreements may set rules.
- Sitemate, Sales Development Representative, Sydney: Current vacancy reviewed August 2026. The vacancy publishes separate base, commission and OTE ranges, including super.
- Podium, Sales Development Representative, Melbourne: Current vacancy reviewed August 2026. The vacancy advertises uncapped earnings and accelerator commission above quota but does not publish the formula.
Public vacancies reveal selected compensation terms, not the full plan and not a representative Australian market sample. Fair Work explains that commission can be paid as an incentive on top of pay and that awards or enterprise agreements may set rules. Candidates should check the instrument and contract that apply to their own role. Any calculation examples in this guide are hypothetical illustrations, not QuotaClub estimates of common Australian quotas or attainment. Last reviewed .
