Stair Step (Breakaway) Plan
Classic MLM plan where members "step up" through ranks based on downline volume, with the top-rank members eventually "breaking away" from their upline's direct commission structure.
How Stair Step works
- Member ranks defined by personal + group volume (e.g. Bronze → Silver → Gold → Platinum → Diamond)
- Rank advancement triggered by hitting volume targets
- Different commission % per rank, Platinum earns higher % than Bronze
- Rank qualification must be maintained (monthly / quarterly)
Breakaway mechanic
When a downline member reaches a senior rank (often Gold / Platinum), they "break away":
- Previously they counted in your group volume
- Now they lead their own group
- You stop earning the main level commission on them
- BUT you earn an "Override" or "Generation bonus", a smaller % that's uncapped in depth
Why this structure
- Rewards senior leaders for long-term building
- Upline must keep qualifying (can't rest on old downline)
- Encourages leaders to help downline advance (creates new breakaway groups)
- Creates multiple "generations" of income
Classic usage
Amway, Mary Kay, Shaklee, and many legacy direct-sales companies use Stair Step with Breakaway. Known for sustainable long-term careers rather than quick recruitment.
Typical configuration
- Bronze: 10% on personal sales
- Silver: 15% + downline at 10%
- Gold: 20% + downline breakaway override at 5%
- Platinum: 25% + 3-gen overrides at 4%/3%/2%
Qualification pressure
- Must hit personal volume monthly
- Must maintain rank volume
- Rank drops if you miss, members often rebuild sub-networks to re-qualify
Best for
Long-term, product-volume-focused MLMs. Less recruit-friendly than binary/matrix but more sustainable and more likely to pass regulatory scrutiny as a "real" direct-sales business.