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What is the difference between single level and multilevel compensation plans?

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What is the difference between single level and multilevel compensation plans?

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Single level compensation plan means a representative/distributor is compensated based solely on one’s own product sales.

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A. A single level compensation plan involves a representative/distributor who is compensated based solely on one’s own product sales. In a multilevel compensation plan, representatives/distributors are compensated based not only on one’s own product sales, but on the product sales of one’s downline.

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A. Single level compensation plan means a representative/distributor is compensated based solely on one’s own product sales. In a multilevel compensation plan, representatives/distributors are compensated based not only on one’s own product sales, but on the product sales of one’s downline.

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