Meaning & use
OTE salary
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Meanings
nouncountable or uncountablebusiness
The pay an employee receives when they meet all the targets set for their job, including basic pay plus expected bonuses or commission.
Grammar: Often used before another noun (an OTE salary) and usually written in capitals; it can be countable (an OTE of $80,000) or uncountable (paid on OTE).
Patterns
- an OTE salary of $80,000
- earn $80,000 on OTE
- OTE is $80,000
- an OTE of $80,000
The job advertisement lists an OTE salary of $75,000 in the first year.
Her OTE is $90,000, but she only reached it once because the targets are tough.
Recruiters often quote an OTE salary that assumes you hit every monthly target.
nounsingularbusiness
The total amount a worker can expect to earn in a year if performance goals are fully achieved.
Grammar: Used as a fixed business phrase, usually after 'on' or with 'of': paid on OTE, an OTE of $60,000.
Patterns
- on OTE
- an OTE of $60,000
- paid on OTE
New hires are paid on OTE, so their take-home pay changes from month to month.
The contract explains that the OTE figure is not guaranteed.
She asked whether the OTE included the annual team bonus.
Common combinations
- OTE salary of $80,000
- The listing promises an OTE salary of $80,000 for the first year.
- on OTE
- Sales staff here are paid on OTE rather than a flat rate.
- OTE figure
- The OTE figure in the contract is only an estimate.
- reach your OTE
- Few people reach their OTE before the final quarter.
- OTE package
- The OTE package includes base pay, commission, and a yearly bonus.
Synonyms and how they differ
- on-target earnings
- The full form of OTE; use it in formal writing or when your reader may not know the abbreviation.
- total compensation
- A wider term that also covers pensions and benefits, not just pay tied to targets.
- package
- Informal and general; it can mean pay plus benefits, so it is less exact than OTE.
Word family
- OTE abbreviation
- Short form of on-target earnings, used mainly in job advertisements.
Commonly confused: OTE salary or salary? OTE salary or commission?
OTE salary vs salary
Salary is the fixed yearly amount; an OTE salary includes expected commission or bonuses on top of the basic pay.
OTE salary vs commission
Commission is only the part earned from sales; OTE covers basic pay plus expected commission.
Practice
A job ad says: 'OTE salary: $70,000.' What does this mean?
Choose one answer.
OTE shows the total expected when targets are met, so it is not guaranteed and is not the same as basic pay or a signing bonus.
Make it your own
Write a sentence using “OTE salary”, then check it and compare it with the examples above.