What is On-Target Earnings (OTE)?
The total expected compensation an employee will earn if 100% of quotas are hit.
Understanding On-Target Earnings (OTE)
In software sales, OTE is typically split 50/50 between a guaranteed Base Salary and a Variable Commission. For example, a $120k OTE means the AE earns a $60k base salary, plus $60k in commission if they sell their exact target quota.