OTE
What is the opposite of OTE? Here is what we hold, with its meaning and related words.
Abbreviation — On-target earnings: the total pay a salesperson or other commission-based employee can expect in a year if they hit their targets in full, combining basic salary and commission or bonus.
How to use OTE
The word patterns that sound natural to a native speaker.
£50k OTE
uncapped OTE
basic plus OTE
hit OTE
Recruitment and sales jargon; common in job adverts, especially in the UK.
Etymology
An initialism of 'on-target earnings', standard in recruitment advertising.
Full origin of OTE →Frequently asked questions
Is OTE guaranteed pay?
No. Only the basic salary is guaranteed; the rest depends on hitting quota. Always ask for the basic figure separately and for the share of the team that reached OTE last year, since an inflated OTE is a common recruitment tactic.
What is the difference between OTE and basic salary?
Basic salary is the fixed amount you are paid regardless of performance. OTE is that basic plus the commission or bonus you would earn at 100% of target, so OTE is always the larger number.
Is OTE before or after tax?
Before. Job adverts quote OTE as gross annual earnings, so income tax and any national insurance or payroll deductions come off it.
