How to Make Binary Plan?

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Updated: June 2026 By Oleksandr Honcharov, CEO at FlawlessMLM To make a binary plan, define two-leg placement rules, set the weaker-leg commission percentage, decide on carryover or flushing of strong-leg volume, add fast-start and matching bonuses, and stress-test the math against expected distributor growth. The plan's economics must hold from 100 to 100,000 distributors. Steps to make a binary plan Define leg structure — confirm strict two-leg placement with spillover under existing legs. Set weaker-leg commission percentage — typically 5–20% of weaker-leg business volume, varying by rank. Decide carryover vs flush — most plans carry over strong-leg overflow; some flush after pay cycle. Add fast-start bonus — 20–40% on new recruit's first 30-day order, paid to the sponsor. Add matching bonus — 10–25% on personally sponsored distributors' binary commissions, paid to the sponsor. Definition: Making a binary plan means engineering a compensation structure where each distributor has two legs and earns commissions on the weaker leg's sales volume. The plan must include placement rules, percentages, carryover or flushing logic, and supporting bonuses (fast-start, matching, rank, pools), all stress-tested through simulation against multiple distributor growth scenarios before launch. The most common binary plan mistake is setting commission percentages too high without stress-testing payout sustainability. Plans that pay over 50% of revenue rarely survive their second year.

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