Amway Compensation Plan 2024 Review – The Good, Bad & Ugly

Hello, my friend!
Welcome to this detailed review of the Amway compensation plan for 2024. My name is Paul Hutchings, and I’ve spent nearly two decades in direct sales. I’m thrilled to share my insights on what you can expect from Amway’s compensation structure this year.

For all the nitty gritty details, I HIGHLY recommend watching this video here, versus just reading this post.


If you’re curious about the Amway compensation plan, you’re not alone. Many find these plans complex and daunting. That’s why I’ve taken the time to break it down for you, using artificial intelligence to help simplify the terms and figures. Here’s a link to the current Amway compensation plan, but let’s dive into the essentials right here.

Simplifying Compensation Plans

One thing I hate about MLM comp plans is their complexity— some of these plans are so complicated it’s like it takes an engineering degree to understand.

When I first opened Amway’s plan, its length and depth were a bit overwhelming, filled with jargon and diagrams that could make your head spin a little. However, I used AI to dissect and interpret the document in simpler terms, making it so even a kid could understand.

Here are some Key Highlights from the Amway Plan

Basics of Earning

  • Selling Products: You earn by purchasing Amway products at a discounted rate for Independent Business Owners (IBOs) and selling them at a retail price. The markup constitutes your immediate income. There is about a 10% spread from wholesale to retail.
  • Bonuses: Additional earnings come through bonuses, which are influenced by your and your team’s overall sales performance.

The Power of Points and Bonuses

Amway’s system revolves around points (PV) and business volume (BV), which are crucial for calculating your earnings and bonuses. More sales mean more points, enhancing your potential bonuses, which can soar up to 25%.

Pros of the Amway Plan

  • Flexibility: Work on your own schedule.
  • Support: Amway offers extensive training and resources.
  • Stability: Amway has been a giant in the direct sales industry since 1959, providing a stable platform for building residual income.

Cons and Considerations

  • Sales Dependency: Your income heavily relies on continuous sales and team performance.
  • Team Building: Maintaining an effective team is essential but challenging.
  • Regulatory Compliance: A minimum of $300 in sales is required before you can officially become an IBO, reflecting Amway’s commitment to legal compliance and consumer focus.

Potential Gotchas

The biggest potential gotchas I found in reading and we compensation plan were as follows…

  1. Restrictions on advertising and marketing. If you read the plan it says you have to get permission for videos you make. This is no Bueno for online marketers.
  2. Noncompete clauses: the plan also stipulates that you are forbidden from joining another network marketing company while you are in Amway IBO, and even goes on to state that in the event you should quit Amway you are forbidden from building and other network marketing team for period of six months.

These may be okay for some but if you love freedom you may want to look a little further into these gotchas to make sure you’re okay with what you’re agreeing to.

Earnings Example

Understanding what each customer contributes to your income is crucial. For instance, at the base level, if you achieve 100 BV with a 3% bonus, you’d earn $3 from that sale. As your performance improves, this percentage can increase, significantly boosting your earnings potential.

3 to $25 residual for every hundred dollars spent by a customer is not bad.

It’s definitely not as high as what you would earn promoting affiliate marketing products, but with network marketing you theoretically have the leverage from building a large team.

Another thing to be aware of with comp plan is the breakaway aspect, meaning that when people in your organization reach higher ranks you get paid lesser amounts of income based on their business volume, with the potential of not getting paid anything should they match your status.

This is called a breakaway comp plan in some circles, and the thing I’m not a fan of about it, is that is sort of penalizes you for doing a better job raising people up.

But hey different strokes for different folks right?

Final Thoughts

The Amway compensation plan offers a robust framework for earning through direct sales, with clear benefits and challenges. By understanding the key aspects and potential pitfalls, you can make a more informed decision about joining Amway in 2024.

What’s Next? If you’re considering building a residual income with Amway or any other direct sales company, you may want to watch my seven free online recruiting secrets videos that show exactly how I became the number one producer and a earner in my network marketing company using the Internet.

Another thing that can be really beneficial to you if you want to grow a residual income as fast as possible, is this affiliate marketing company I started seven years ago that pays 80% commissions.

Because we pay 80% commissions on all of your sales you can grow residual income much faster and with a much smaller team.

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Thank you for reading, and don’t forget to subscribe for more insights and updates. Here’s to achieving your dreams and building a successful direct sales career!


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