MLM Compensation Plans and How I Became a Six Figure WAHM With Network Marketing

Hi! Jackie Ulmer here to talk to you about MLM Compensation Plans.

Often, when one hears about MLM, the term "residual income" is also mentioned. And yet, many people do not totally understand what that phrase means, and what it can mean personally over time when one invests in building a Network Marketing business. Residual income is essentially passive income.  It is money you get paid whether you are physically present or not.

Have you ever been on vacation and thought about how nice it would be to come back after the crowds are gone; when the beaches are deserted and the lines aren't so long? Have you ever dreamed of taking one week a month for vacation instead of two lousy weeks per year? Have you ever watched people enjoying coffee at a beachfront coffee shop and wondered what they do for a living that allows them to be footloose and free in the middle of the say, while most everyone else is trapped in an office?

What would be different about your life if you have $10,000 per month coming in and you didn’t have to show up at a job to get paid for it? And, as time goes on, the less you work, the more you get paid. How would that feel? Does it sound too good to be true? Well, it is and it isn't. Let me explain.

First of all, it is not get rich quick, so if someone has sold you a bill of goods about how you are going to make tens of thousands of dollars in Network Marketing in your first year, you should demand your money back and run.

It is possible to create tens and hundreds of thousands (and even millions) of dollars annually in Network Marketing, it does not happen as quickly as some would like for you to believe, nor as easily.

We do have a simple system and taking action in our business model is easy.  It just requires one key component that is often lacking. It requires the network marketing distributor to take action, and to do so on a steady and consistent basis for two to five years typically.

A good friend of mine in Network Marketing was in 11 MLM companies in 10 years and he never made any money. Didn't sponsor anyone, had zero success. He racked up over $20,000 in credit card debt financing his business ventures.

In his twelfth company, all of that changed and he went on to earn hundreds of thousands of dollars annually. And, in his 13^th company, he had his first million dollar year.

Knowing his story and his odds, my question for you is this – would you stick with your network marketing business if you knew you would not make any money for the first ten years, and in fact would lose over $20,000, knowing that you would eventually become a millionaire?

Understanding MLM Compensation Plans is really about understanding that in the beginning, you can expect to put in more time for less pay than a traditional job. And, as you do this consistently (and choose the right company) you will end up earning much more for less time invested.

The way to create true financial wealth is through the leverage of time and money. It will not come through a job. A Network Marketing compensation plan creates this type of leverage.

Working for someone creates linear income which means you trade an hour of time for a set rate of pay. Don't work, don't get paid. And, your boss tells you when to take time off and vacation.

Working for yourself through a network marketing compensation plan creates passive income. In the beginning, you may put in 40 hours and not make one dime. If you continue taking consistent action, in two to five years, you may work not work that week and get paid for an entire year's worth of time in one month. The work you do one time creates income for you over and over.

People ask me all of the time how much I made my first month in my MLM business and the truth is, I don't know, I am still getting paid. I sponsored about 5 or 6 people that first month and all of them quit but one. That one person duplicated what I was doing and now we both enjoy a high, six figure annual income. But, had I become frustrated because the majority of the people quit, I wouldn't be here today.

If you have a lot of fear or doubt, you can rest assured that will slow your income earning ability down dramatically. Hesitation is another deal breaker in the income earning arena. Commitment and charging forward in the face of fear is the real key to success. It is the willingness to do what most others will not.

One key to success is keeping the process as simple as you can. Simple product, simple compensation plan and simple way of showing your business, sponsoring and training for duplication.  From there, it involves developing a daily and weekly plan of action and then sticking to it.

There are a lot of smoke and mirror compensation plans out there, so educate yourself and choose wisely. Often, people get very starry eyed about matching bonuses, big incentive trips and so on. Be sure you understand the reality and what it will really take to ever tap into those matching bonuses. And, know that all incentive trips and awards are considered table income, so you will get a hefty tax bill at the end of the year.

MLM Compensation Plans are the best way I know for the average, but motivated person to create personal wealth, time freedom, financial security and generational wealth. Get educated and get your plan of action started today.