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Thread: Hourly vs. Salary

  1. #1
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    Hourly vs. Salary

    I'm an optician/manager at a private office. I work for the doctor as the sole optician. A receptionist also works for the doctor. I have work there for a while. I make a comfortable living. I've now been informed that I will be going hourly plus incentives. I see this as a cost cutting measure on the doctor's part. I do not know what the hourly rate will be. 12.00 an hour was mentioned plus incentives for progressives, AR, etc. I was told I would be given more because I do most of the adminstrative tasks of the office i.e insurance filing, frame ordering, etc. Any comments from anyone? I don't think I'm going end up what I'm making now and I'm going to be working harder to get where I am now.

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    OptiBoardaholic Ladyoptician's Avatar
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    My first thought is that they are not trying to do this to pay you less, but to increase sales. I would certainly sit down with them and go over your concerns! And make sure that you have some kind of alternative if this does not work out fairly. I have worked under all three circumstances and prefer straight out hourly pay. Although, commission checks were nice, especially when you have a great month, but not dependable and hard to budget with. Hated salary because I ended up putting in lots of overtime with no regard (I was the only salaried employee, so guess who had to stay late!!) Commission comes with pros and cons, check out the thread from not long ago with that topic...

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    OptiBoardaholic a1vo's Avatar
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    Don't like the idea of commission. It promotes in-office competitions and (god forbid) un-necessary sell.

    IMHO, office/store performance bouns is a better system.

    For MBoland, to compare salary vs hourly+c, you really need to sit down and calculate your own numbers. The real number for h+c varys alot depending on commission schedule and things you sold.
    Paul @ Silicon Valley California

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    they have basically told me that they have talked to other optical's and I make to much money and I have no incentive. What they don't realize is that I already sell all the good stuff, and don't push anybody into anything they do not want or can't afford. After twenty years of doing this I figure I'm a good gauge of people.

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    Quote Originally Posted by mboland View Post
    they have basically told me that they have talked to other optical's and I make to much money and I have no incentive.
    In other words, they don't value your services. On the other hand, they probably do value your services, but want to get you on the cheap.

    Telling someone that they are overpaid, and then trying to hire them is a lousy way to begin a working relationship. I would turn the tables on them and offer them a trial period, of XX weeks. If they don't like what they see, you can move on, or go on comissions.

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    Master OptiBoarder rbaker's Avatar
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    mboland – Sweet, how does it make you feel to be told that “you make to much money and have no incentive.” I think that you might want to start looking for a new job working for someone who takes pride in offering his employees the best wage and compensation package around. Do not work for anyone who does not see it as an obligation to pay his employees a wage sufficient to provide them with a decent standard of living.

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    OptiBoardaholic a1vo's Avatar
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    Quote Originally Posted by mboland View Post
    I do not know what the hourly rate will be. 12.00 an hour was mentioned plus incentives for progressives, AR, etc. I was told I would be given more because I do most of the adminstrative tasks of the office i.e insurance filing, frame ordering, etc.
    Quote Originally Posted by mboland View Post
    they have basically told me that they have talked to other optical's and I make to much money and I have no incentive. ... After twenty years of doing this ...
    20 yrs experience and they r thinking about $12+c. I would quit long time ago. However, if u like them so much and prefer to stay. Let them appreciate you more. Tell them u need to think more, a week more, at home. Tell them u need to visit ur out of state relative. Tell them u need to go out of town.

    Most important of all, make sure u have a plan B just in case....

    Good luck!

    ----------------------------------------------
    Situation like this make me wonder why there is no Union for opticians?
    Paul @ Silicon Valley California

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    Unfortuantely you find yourself in a situation that I have seen many opticians in. The doctor really values the optician until things start to gel and make money. Overpays him at first just to get established and then cans him when he feels he is "makin too much money."
    You forgot the first rule of the optical business: "Don't trust anyone."

    Chip:hammer:

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    OptiBoard Professional Dannyboy's Avatar
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    your Profile says Florida

    If you are licensed...time to move on 12 per hour ....you should be looking in the mid to upper 20s/hour. Get in touch with i matters....also look at the POF.org website....Best thing could ever happen to you. You can also weather this forced retirement in a chain until something comes up or you decide but above all do not panic. You are experienced and you are in Florida! Gods waiting room... full of ODs and OMD and chains and a independent opticals!

    Good luck

    Dannyboy

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    Opticians are ALWAYS complaining about being under paid. With commissions the sky is the limit. What a great opportunity to make some more money. Forget about all the competetion amongst staff members, it all works out. You can build a nice following by not overselling. Recommend products that are beneficial, build trust and you will do well.

  11. #11
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    Quote Originally Posted by CME4SPECS View Post
    You can build a nice following by not overselling. Recommend products that are beneficial, build trust and you will do well.
    Sure! You'll build a great following among the ODs you work for! Oh, and don't forget, your commission will only come AFTER you've finished all your administrative duties, insurance, frame ordering, and any/everything else they expect of you!

    Congratulations on you new job Cinderella!

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    I personally would have left if they told me they were going to pay you less. Optician making 12 an hour?
    If you want to talk it out with him, try to find some good facts about who around you is making 12 an hour (look at salary averages, etc) If you can say, Look, I can go down the street and work at Starbucks for 12/hour, or I can work at Bananna Republic for 12/hour...is that the level of skill you think I have?
    Putting it more in black and white might make them really see the picture. If not, you could always sell cell phones! ($$$)

  13. #13
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    I am on straight commission!

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    Optiwizard making films Audiyoda's Avatar
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    Quote Originally Posted by mboland View Post
    they have basically told me that they have talked to other optical's and I make to much money and I have no incentive. What they don't realize is that I already sell all the good stuff, and don't push anybody into anything they do not want or can't afford. After twenty years of doing this I figure I'm a good gauge of people.
    Welcome to the world of doctors maintaining their lifestyles. What they just don't get is that you (your abilities) account for well over 60% of the revenue in that practice. I've never met a doctor that can sell properly much less dispense, repair, push paperwork - then again, that's why they hire opticians. But then they take a hard look at the bottom line - they start talking with associates in the industry and all of a sudden, you make too much. Never mind they have the six figure salary regardless of patient flow while you're making 1/3 of that if you're lucky and now they want you to work commission to 'provide you with an incentive to sell'. Good opticians sell what the patient needs, not what will provide the best commissions. But that's what commissioned sales does - you start to sell what will pay you the best.

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    The other thing that I think most ODs tend to forget is that the Optical shop can be a huge part of the company's profit. Sometimes, I wonder if the optical shop is more of an after thought (like selling lens cleaner) instead of looking at it as a HUGE way to bring in money! After all, there are two ways to make more money: Get more patients in the door, OR, Sell more to the patient you've already got! Which is easier? (the second)

    I've said it before, and I'll say it again, Doctors (and even opticians) are highly educated and deserve much respect, but they are not experienced or educated in business management. Not that I enjoy working under a office manager who has no idea how things work in optical, but I find that many OD's and MD's are just not business minded.

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    Optiwizard making films Audiyoda's Avatar
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    Quote Originally Posted by CME4SPECS View Post
    I am on straight commission!
    Good for you. In some markets, it works. In most, it doesn't. What would you do if patient flow started to dwindle? I'm sure the doctor would still pull his six figure salary - but he/she is now only seeing 2/3 the patients they were seeing. Your commissions should in theory drop the same amount. The doctor tells you that patient flow has suffered because ABC Optical opened down the street and your office market share has suffered. Do you really think the doctor will take a pay cut? I doubt it...so you start to sell things that maybe the patient doesn't need, add-on's you know won't help the patient or maybe you know the patient's history and know they are on a fixed income but you upsell them anyway.

    Commissions don't belong in the optical trade.

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    If you do decide to stick it out, and you do go to hourly, be sure that it is hourly BOTH WAYS!
    I worked a shop that paid me as an hourly employee, but I got pay cuts for leaving early, and no pay for staying late (with a patient). That is not fair whatsoever.
    Also, if you are going to be on hourly after being used to salary, make sure you get a time clock. Before, if you stayed 15 minutes past closing time, no one bat an eye. Now, if they're cutting your pay down, you better keep track of very single minute of your time you spend working, and expect to be paid for every second of it! I just see the transition from salary to hourly/commission is one that could easily be "confused" and you won't end up getting paid for all your time.

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    that sucks

    it better be a busy location with high end


    Quote Originally Posted by CME4SPECS View Post
    I am on straight commission!

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    Quote Originally Posted by CME4SPECS View Post
    I am on straight commission!
    That's great - if you're straight sales! This person will bwe running the office.

    That's like me saying, I'm going to pay you $100 for every bushel of carrots you pick. You can start by picking lettuce, and then work on the beans. Oh, and in between, pick as many carrots as you can.

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    I am an independent optician! I do not get paid just because I show up for work every morning. I must give each and everyone one of my customers, excellent service, sound advice, high quality products,at fair prices. I can't rip any of them off, or they will not be coming back to me.
    If you are working for someone else, you must use the same approach. If not you have no following. Treat them right and they will come back and ask for you. People do return to the doctor because they like the optician there. Yes you are helping the doctor build his practice and you should benefit from it.
    Some people are on fixed incomes, that doesn't always mean they don't want nice glasses. Maybe they've been saving for a nice pair, you don't know. Quit looking in wallets that you can't see into. You just do your job and let them decide what they can afford. Maybe they came across some money since they were in last.

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    CME-
    Is CA a licensing state, and if so, are you licensed? I'm just curious.

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    Yes, I have met all requirements in the state of Caifornia.
    To open a dispensary in CA, you need a "Register Dispensing Optician" (RDO) license. RSLD - "Registered Spectacle Lens Dispenser" - is issued by the State Medical Board as an optician license. RDO is tied to a store and RSLD is tied to a person. But RDO requires a RSLD. You need to pass ABO in order to apply RSLD. That's not real clear probably, but, that's it in a nutshell.
    I have been self employeed 14 years and have been in optical 30 years.

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    Bad address email on file k12311997's Avatar
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    Quote Originally Posted by CME4SPECS View Post
    I am on straight commission!
    Quote Originally Posted by CME4SPECS View Post
    I am an independent optician! I do not get paid just because I show up for work every morning. I must give each and everyone one of my customers, excellent service, sound advice, high quality products,at fair prices. I can't rip any of them off, or they will not be coming back to me.
    If you are working for someone else, you must use the same approach. If not you have no following. Treat them right and they will come back and ask for you. People do return to the doctor because they like the optician there. Yes you are helping the doctor build his practice and you should benefit from it.
    Some people are on fixed incomes, that doesn't always mean they don't want nice glasses. Maybe they've been saving for a nice pair, you don't know. Quit looking in wallets that you can't see into. You just do your job and let them decide what they can afford. Maybe they came across some money since they were in last.

    I view the first quote as misleading. You are a bussiness owner and your income is tied to your bussiness profitability. does your "commission" percent stay the same no matter the profitability of the bussiness. That is straight commission.

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    Quote Originally Posted by k12311997 View Post
    I view the first quote as misleading. You are a bussiness owner and your income is tied to your bussiness profitability. does your "commission" percent stay the same no matter the profitability of the bussiness. That is straight commission.
    I was just making a point. I think you got the point I was making. That's all that is important.

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    OptiBoard Professional Ory's Avatar
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    Quote Originally Posted by Johns View Post
    That's like me saying, I'm going to pay you $100 for every bushel of carrots you pick. You can start by picking lettuce, and then work on the beans. Oh, and in between, pick as many carrots as you can.
    Johns, you must have the strangest looking optical store in the country!

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