Guide
OTE vs base vs commission
These three numbers are related, but they are not interchangeable. If you mix them up, you will misunderstand both job offers and payout statements.
| Term | Meaning | Main question it answers |
|---|---|---|
| Base salary | Fixed guaranteed pay. | What do I earn even if variable pay is weak? |
| Commission | Variable pay tied to production or sales rules. | How much upside can performance create? |
| OTE | Base plus target variable pay. | What does a successful year at target look like? |