If they successfully place a candidate, the most common compensation method is paying a percentage of the candidate's first year's salary to the recruiting agency.
Its called commission.
of Commission
you pay your taxes as soon as you get paid, this is for people who get paid with a wage or salary not someone you gets paid with a fee.
Commission
Sales salaries and commission expenses, if paid for selling the products then it is selling expenses, while if salaries or commission is paid for administration work then it would be classified as administration expense like salary of operation manager etc.
Certified financial planners are compensated by commission, but they are also paid a monthly fee. So based on how many customers they have, is how much money they make.
A commission is compensation received by a broker or insurance agent paid by the insurance company and is a percentage of the insurance premium, or a percentage of a portion of the insurance premium. A fee, on the other hand, is a fixed dollar amount (not a set percent of the premium) and can be paid either by the party buying the insurance or by the insurance carrier. Often, clients with large premiums, or complex risks negotiate with their broker to provide services, including the placement of insurance for a flat fee. The insurance is than placed "net of" or without commission. Many people feel that this is a more transparent method of broker compensation and eliminates broker bias to higher premiums or carriers which pay a higher commission. In certain circumstances, both a fee and a commission are charged. This usually occurs when the broker is providing services which are not property compensated by the commission in the policy. When a fee is charged in addition to a commission, it should be disclosed who the fee is being paid to, and for what service.
Realtors typically get paid on leases through a commission structure, where they receive a percentage of the total lease amount as their fee for facilitating the rental transaction.
“Why do we have to paid a fee for this information?”
a fee paid is a ---> toll
Most veterinarians work a fair amount of overtime, but the pay for doing so varies by clinic. Some veterinarians are paid extra for emergency calls, and veterinarians who are paid on commission will earn extra money based upon the additional clinic income.
Financial advisor commission can be done two ways: per trade and/or by the amount they make you. For the latter, some advisors can charge up to 10% of your returns. There are advisors not paid by commission but rather a flat fee, though.