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What Will You be Paid?


Our Compensation Plan

Our Compensation Plan has been developed with three primary concepts in mind, which we call our Business Plan Values. We designed this compensation plan to be realistic, balanced, and sustainable.

REALISTIC – A clear, simple plan that allows people the opportunity to start a business part-time, while maintaining the security of their current part or full-time job, or just build an additional income stream. Regardless of whether you love what you’re doing now, and simply need to earn additional incomme – or if you want launch an entire new career – Pre-Paid Legal offers you the flexibility to decide what’s best for ymou. Create an ongoing cash flow, and build a business to generate serious long-term residual income.

BALANCED – A plan that equally rewards people in all aspects of the business, featuring programs that generously reward people for building a strong base of customers, a deep network of business partners, or both.

SUSTAINABLE – Most important of all, a plan that will support you in building a business that will last a lifetime. A plan based on rewarding the right behaviors – because when you reward the right behaviors, you create an environment for unstoppable growth and unrivaled success.

Building an Associate Sales Team

The Pre-Paid Legal Compensation Plan uses a modified uni-level Compensation Structure as shown below. This uni-level structure is the heart of the compensation plan, the part of the plan that allows Associates to build a large organization and generate lasting, sustainable residual income. The power of this compensation plan is that it allows compensation for volume 5 levels deep in an organization, where volumes tend to grow to their largest.

Unilevel Compensation Structure

This structure means you can get paid not only for sales you personally make but also for sales your recruited sales associates make. You build a team of associates by personally enrolling members to be part of your associate team and by helping people throughout your team enroll other members themselves. Your personal sales team can be 5 levels deep and there is no limit to the number of people that you can personally enroll front line to yourself, ie - Level 1. Plus, there is no limit to the number of people each person in your sales team can enroll. This means, there is no limit to the size of the sales team you can create and no limit to the income you can generate. That`s right, there is absolutely no constraints on the amount of money that you can earn.


A Plan designed to help you build a solid business

The Pre-Paid Legal Compensation Plan is designed to reward those people who want to sell and promote our Legal Service Plans by becoming an individual Pre-Paid Legal Sales Associate. Unlike most network marketing payment plans that have high monthly fees and complicated qualification schemes that are designed to slow or restrict you from making money or require that  you to spend large sums on purchasing product, our Compensation Plan is specifically designed to help you to earn money quickly.

The Pre-Paid Legal Compensation Plan uses a modified uni-level Compensation Structure as shown above. This uni-level structure is the heart of the compensation plan, the part of the plan that allows Associates to build a large organization and generate lasting, sustainable residual income. The power of this compensation plan is that it allows compensation for volume 5 levels deep in an organization, where volumes tend to grow to their largest.

As you progress in status up the levels in the compensation plan, you earn increasing monthly commissions on all sales generated by yourself personally and throughout your sales organization. The higher the status, the deeper the level of pay accessed, up to 5 levels of dynamically compressed volume.

Each time you reach a new level (or status) on the compensation plan your Associate Status changes. The level at which you get paid is the level you qualify for in that particular month and will be the level at which you will be paid.

Associate Commission paid per level 28%
on personally signed 26% Exec Dir
members 24% Director 6%
  22% Manager 4% 5%
20% Level 2 2% 3% 4%
Level 1 < < 1% 2% 3%

< < Bonus override commissions payable on downline levels


To be paid be paid at any level in the Business Plan, you need to be an active Associate - again, "active" simply means you have to maintain your own legal plan membership on either an ongoing monthly or annual basis and meet the level requirements for the level you have attained.

In addition to being active, the compensation plan features the following qualifications, designed to support you in building a strong, stable and sustainable organization. In other words, they are designed not to constrain you, but to support and accelerate your growth. They are:

Level Qualifications - this is the minimum number of active members required before moving to the next level. For example, to gain Senior Associate Status you will need to have personally signed a minimum of 31 active members; to gain Associate Manager Status you will need to have personally signed a minimum of 61 active members; to gain Associate Director Status you will need to have personally signed a minimum of 121 active members or have established 2 independent Associate Manager sales legs; to gain Associate Executive Director Status you will need to have personally signed a minimum of 251 members or have established 2 independent Associate Director sales legs.

Qualifying Leg Counts - this relates to building a certain number of qualified associate legs in your organization and moving to a higher level. Commencing from Associate Manager level, you can chose not to focus on personal sales but on building your sales organization and by helping to develop 2 independent Associate Manager legs and in doing so automatically move to Associate Director Level. The same option applies for an Associate Director who chooses to focus on building their sales organization, by developing 2 independent Associate Director legs they will automatically move to Executive Director Level. For Executive Directors however who chose to focus on building their sales organization, by developing 3 independent Associate Executive Director legs, by doing so they will granted exemption from having to meet any further ongoing monthly qualification requirements in order to be paid.

60% of all revenue is paid to Associates

The heart of the Pre-Paid Legal Compensation Plan is that 60% of all plan revenue is available to be dispersed to qualified Pre-Paid Legal Associates. This revenue is dispersed monthly to all associates meeting their level requirements along with any bonuses and override commissions earned. We offer every associate a variety of earning options with the flexiblity to earn as much as they desire with all the help and support they need to establish and grow a sustainable income stream. We also provide the option of being able to transfer or will any income stream developed to their respective spouse and or children inline with the company`s guidlines as part of their membership. It's Guaranteed... and as you'll see below, we offer you a variety of earning options.

There are several ways for you to earn money

With Pre-Paid Legal`s compensation program, you have several different options available from which you can earn money. They are:

Direct Sales Commissions - You earn commission on every new member you personally join commencing at level 1 on a commission rate of 20% rising to a commission rate of 28% of a plans value upon reaching Level 5. Pre-Paid Legal offers a lucrative compensation structure, paying you a percentage of a plans value which increases as you progress from level to level on the compensation table. There are five associate levels attainable. You commence your business at level 1 as an Associate and rise to become an Associate Executive Director at level 5 with the more members you sign. Commissions are paid at the level rate you are on and automatically increase as you reach your new Associate level status. As you move to a new level, the commission rate payable not only increases for every new member you personally sign, it also increases for all existing members you have already signed that remain active. Where a member fails to maintain payment of or cancels their membership during their membership term then no commission will be payable on that particular member for the unpaid period. When a member cancels or fails to maintain payment of their membership that member will be deemed inactive and be deducted from your active level status, reducing the number of members you have at that level until they either renew payment or renew their membership. If your active member level falls below your current level status requirements, you will fall back to a lower level status and as such any commissions payable will  be paid at that lower status level until you move to a higher level again whereby your commission rate will increase accordingly. So it is in your best interest to ensure your members remain active or you replace any cancelled or non paying members with new members to ensure you maintain your current level status and meet all level requirements to be paid at the higher commission amounts for each level you reach.

Associate Fast Start Bonus - You can earn as much as 25% commission on every new Associate you personally join. One of the most important aspects of a good plan is that it starts rewarding new participants immediately, helping them to recoup their initial investment and see tangible proof of the viability of their business. Immediate rewards translate into better retention and stronger momentum. The fast start bonus is paid on every new Associate signed in your organization. A total of 40% of the Associate signing fee is paid: 25% to the sponsor, 10% to the second-level up line sponsor, and 5% to the third-level sponsor. Associate Fast Start Bonuses only apply from Level 3 onward.

Associate Override Commissions - Each time one of your personally enrolled Associate team members signs a new member you will get paid an override commission. Others in your Associate organization also earn when the team expands. To be eligible for these bonus override payments you must reach Level 3 Status as a Associate Manager. This is one of the concepts that helps us have a balanced system. By earning every time your team expands it gives you time to build that strong foundation needed for a successful long term business.

Ongoing Residual Income  - Two residual income streams can be developed with our compensation plan that allow you to build ongoing long term wealth.

> Personal Residual Income - This being the ongoing income stream that is paid to you for any personal memberships signed for as long as they remain active.

> Override Residual Income - This being the ongoing income stream that is paid to you on all active memberships signed by your personally enrolled Associate team members.

Associate Revenue Pool Sharing Bonus - Management level Associates are eligible to share in all commissionable Volume Revenue of the company. Three (3) percent of the companies Volume is divided into three separate pools: Associate Manager Pool, Associate Director Pool, Associate Executive Director Pool. Each pool is exclusive to that level. Associates in each level earn shares of their pool based on the number of Manager or higher legs within their organization.

As an example; If there are 5 Associate Directors that qualify with 1 Manager leg each, they would split the pool 5 ways, each earning 1 share in that month. If $1 million in qualified commissionable volume were reached in that month this would result in each receiving a $2000.00 bonus.

Monthly Sales Bonuses - Are one off monthly bonuses paid on reaching company sales targets, independent of any Level commission or override payments made in that month. These payments are made upon reaching the target minimums set and are paid at the rate of 6% of the relevant plans value.

The best thing about the Pre-Paid Legal Compensation plan is that you can easily qualify. Simply maintain your own personal Legal Plan on either a monthly or annual basis and meet your associate level requirements. When you do, you will earn money anytime you or anyone in your sales team signs a new member or associate.


The Compensation Plan below is for our Family Plan, one of our most common plans and outlines the commission payable per Associate Level reached. Associates can earn bonus income on meeting monthly company targets and earn override income on all Associates personally recruited from Level 3 (Manager Level) onward.

Compensation - $49.00/month Family Plan


$117.00 Comm P/A

Commission Level 1

Sales Associate Level

4-30 Sales required

Your earnings commence with 4th sale


$129.00 Comm P/A

Commission Level 2

Senior Associate Level

< <

31+ Sales required

moves you to Commission level 2


$141.00 Comm P/A

Commission Level 3

Associate Manager Level



61+ Sales required

moves you to Commission level 3


$152.00 Comm P/A

Commission Level 4

Associate Director Level




121+ Sales or 2 Managers

moves you to Commission level 4


$164.00 Comm P/A

Commission Level 5

Associate Executive Director Level





251+ Sales or 3 Directors

moves you to Commission level 5


Residual Income / Continues Monthly for life of membership

# of MembersOngoing Monthly Income Stream on personal sales
5 $ 48.75
31 $ 333.25
61 $ 716.75
121 $ 1532.66
251 $ 3430.33

Bonus Income / On monthly sales targets reached

Target # of Members/MonthMonthly Sales Bonuses
15+ $ 90.00
30+ $ 180.00
45+ $ 270.00
60+ $ 360.00
75+ $ 450.00

Commission Payment Guidelines.

Commissions are paid only when a membership sale has been processed by Pre-Paid Legal. Commission amounts shown above represent commission paid per level over one year. All commissions are paid monthly. If a member cancels during the membership term you will no longer receive commission on that member unless reinstated. This Compensation Plan is subject to change at any time without notice and is subject to all PPLSA polices and procedures.All fees and commissions are inclusive of GST.

Commission Level Guidelines.

All commissions are paid monthly via direct deposit commencing with the 4th membership sale you make.  Your first three sales where possible will be made on your behalf by your upline associate as part of your initial training to help answer any questions raised and to show how to close a sale. All Associates from this point on are to maintain and meet their associate level requirements inorder to be eligible for receipt of commissions going forward. If you do not meet your Associate level requirements, then commission payments will cease to be paid till you do.

Associate Level Requirements.

To retain their Associate Status, all Associates must maintain their own personal legal plan membership on a monthly or annual basis. To qualify for commissions (including overrides and renewal bonuses) all associates must personally meet their associate level requirements to be considered active.

Level 1 - An Associate must personally sign one new membership per calendar month.

Level 2 - Senior Associates must personally sign two new memberships per calendar month.

Level 3 - Associate Managers must personally sign a minimum two new memberships plus recruit one Associate or three new memberships per calendar month.

Level 4 - Associate Directors must personally sign three new memberships plus recruit two Associates or four new memberships per month per calendar month.

Level 5 - Associate Executive Directors must either personally sign three new memberships plus recruit three new Associates or five new memberships and one new Associate per calendar month.

What is the difference between "Associate Levels"?

All Associates commence their business at Associate Level 1 and progress to Executive Director Level 5. As sales numbers are reached an associate moves to the next commission level, whereby the level of income earned on all personally signed active memberships, current and future automatically increase. Upon reaching Commission Level 3, an Associate becomes a Sales Manager and may begin to recruit and train others, further developing their business and earning override commissions on sales made by their personally recruited downline sales associates.

What are Bonuses and Override Commissions?

Bonuses are one time payments made once you reach the monthly sales targets as set by the company. The more sales you make the more you get paid in that month. You must meet the criteria each month to continue to qualify. Bonuses are paid above level commissions payments and are earn`t only when sales targets are reached in that month. All Bonuses are paid in the following month. Override Commissions are payable on the sales made by your recruited downline Associates and are paid on all sales made in that month and continued to be paid for as long as you meet your Associate Level requirements.

Will I earn commission on memberships signed after the 1st years membership period?

Yes, if you meet your respective associate membership level requirements as set by Pre-Paid Legal you will continue to earn commissions on all active memberships signed. This Residual Income stream is paid for the life of those memberships you have signed that remain active and will be paid to you at whatever Associate Level you have reached. Allowing your income to grow with you as you build your business.

Are cancellations paid if a member cancels and wants to reinstate?

Yes, if member reinstates their membership themselves within a three year period, then that member will be considered to be the original associates signed member as long as that Associate is active. Where the original signing Associate is not active or if the membership has been cancelled for three (3) years or longer, then the members reinstatement will be considered new and the writing Associate will be paid commission on the sale as a new member.

About Pre-Paid Legal

Understanding the struggles that individuals, families and business owners encompass with not having access to affordable legal services, is the inspiration behind Pre-Paid Legal Plans. Learn more

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