Returning Mary Kay Inventory, Car Program, Quitting, DIQ, Facts & Guidelines

Inventory | Car Program | DIQ Info | Quitting Mary Kay

FAQ: INVENTORY
(Also see our Inventory Repurchase Info on Home Page)

Question: Why is my recruiter pushing me to make an inventory decision, I thought I had more time?

You are correct. You have the month you sign and the following month to make an inventory decision and still get your 'free' product. Most of the time, there are monthly production quotas to meet for directors, recruiters to attain or maintain a status or car. Initial inventories are key in meeting those quotas. If you signed up toward the end of the month, they might need that to make that month's production. You can wait until the following month to make that decision. You have that right.

Question: Can I return my inventory after the first year?

YES you can. It's a rolling 12 months. Many people are given miss-information about this and/or are left with a false impression about when they can return it. It's emphasized, at recruitment, that within the first year you can return your product and that leaves people to think they ONLY have the FIRST year to do so. Yet, if you review the Consultant Agreement, under item # 7 it states the following: "Mary Kay Inc., ("Company") AGREES to repurchase, upon termination of this Agreement, at ninety percent (90%) of Consultants original cost, original and unused Section 1 products provided such items were purchased by Consultant from company within one (1) year prior to return..."

Question: Do I really need to buy inventory and if so, how much?

NO, you are not "required" to have inventory, but to "activate" your status after you sign up, you must place at least a $200 wholesale order. Think about Avon reps who seem to have no problem selling and collecting $ for orders placed. No inventory. As we have said, you have the month you sign and the following month to make that decision to take advantage of the bonus product you would get for any inventory decision of $600 or above. The answer to this question is a matter of opinion. Because this site is for MK Survivors, we recommend you start small, whatever that may be for you and BUILD YOUR CUSTOMER BASE and order the things you KNOW you will sell via re-orders. In speaking to many directors who have successful SELLING Units, NOT ORDERING UNITS, they maintain they started with a small inventory, built a customer base and teach their consultants to SELL. This makes the most SENSE budget wise and business wise. We have learned from our experiences, and those of many others, that the larger inventories are overwhelming and much of those inventories are never sold leaving the consultant to feel like she failed. Even in full stores, customers do not buy everything; so it is wisest, in our opinion, to build the customer base as you go. If you do not have a lot of customers and you feel MK is not a "fit" for you, then you won't lose out on that much. Think of your stock as the stock at Wal-Mart: they "fill" their store, but do they "sell" everything? What happens to the overstock or the items no one wants? Think about your stock in the same manner. Also, when deciding about this, keep in mind that the director/recruiter might not have YOUR interests at heart, and may be thinking about filling their quotas with your inventory order. (That's called "production") Remember that even Wal-Mart and Mary Kay Inc. started small and grew. Your business should be the same.

Question: How Long Does it Take to Get my Check When I return Inventory?

4-6 Weeks from the date you return your product.

Question: If I choose to have inventory, what do I order?

IF you choose to buy inventory, order the skin care and few of the color cosmetics or perfumes. Do a small order and see what your customers (if you get any) will need. I highly recommend if you sign, take your FULL time (2 months) and research product, play with the ordering site, learn from SELLERS what moves and what doesn’t and be watchful for new things coming out and discontinued items by paying attention to Mary Kay forums on the internet. Many times, you won’t hear about these things from your director.

FAQ - DIQ
(From Mary Kay In Touch with added comments from me)
See also the Career Essentials book and/or request a copy of the “ADVANCE” brochure from your director for ALL qualifications for all titles and income specifications.

Question: If I’m not a DIQ yet, may I call a DIQ Specialist?

Yes, you may call 1-800-347-7666.

Question: When I am a DIQ, do I have one DIQ Specialist at the Company?

No, you have several DIQ Specialists. When you call the DIQ Department, the first available Specialist will be glad to help you.

Question: What if I personally do more than the maximum $4,000 personal production toward the $16,000 requirement?

Any production over the $4,000 maximum will count toward the $4,000 requirement for each individual month. But $12,000 wholesale production must come from your DIQ unit members to count toward the $16,000 wholesale requirement.

Question: Will the spouse of one of my team members or my spouse count toward my 30 active unit members?

No spouse will count in any way toward Sales Director qualification or toward any Company promotions or awards, including qualifying for or maintaining a career car under the Grand Achiever program.

Question: When will I get my Unit number?

Once the DIQ Department has the final figures, it will take a few days to assign unit numbers. We normally do this on or before the 11th of the month following your last month of DIQ. When you are official and we have assigned unit numbers, we will send an e-mail to you or call you. (Corporation reserves the right to randomly call your new unit members to make sure they purchased inventory with their own money and that they signed up legitimately). These spot-checks are done randomly, THEN they accept you or reject you.

Question: When can I order my Sales Director Suit?

The same day we contact you with your Unit number, provided it is during business hours. (Sales Director suits can cost hundreds, but you can make “payments”)

Question: If my qualifying unit does over $4,000 wholesale production, will the overage count for the next month?

No. But all of your qualifying unit production does count toward Career Car qualification.
This includes the Pink Cadillac!

Question: If someone pulls out of my qualifying unit by submitting a Commitment Form and then doesn’t meet the production requirement, will she still count for me?

She will not count for your qualifying unit until the following month provided she doesn’t submit a Commitment Form again that month.

Question: If one of my qualifying unit team members submits a commitment form while I am in qualification, will I be her Senior Sales Director if I complete my qualification before she does?

No. You must already be an Independent Sales Director before a unit member submits a Commitment Form to enter the DIQ program.

Question: What are the qualifications for the career car program?

Call Career Car Services at 1/972/687-4470.

Question: Do I need to have $4,000 wholesale production the month before my first month of qualification?

No. This is not a requirement unless you are in the "building program." However, it is a very good idea to always have $4,000 as your minimum monthly personal team production.

Question: Do I count as one of the "30 active unit members?"

You are counted as one of the "30 active unit members" as long as you are active the final month. But make 35 active unit members your minimum goal. (Be aware that if you build your unit with non-sellers, most of the unit, 2/3, will be inactive and you will have to replace them) That is common knowledge in Mary Kay. Build wisely.

Question: How many times may I submit a Commitment Form?

After your third submission (within a 12 month period) if you have not met the requirements a letter will be sent to you explaining that you have one more opportunity before you will be required to go into a "building program". So the maximum submissions is four.

Question: After I complete the requirements to become a Sales Director, can I sign the Independent Beauty Consultant Agreements even though I do not have my new Unit number?

Your Sales Director should sign the Agreements that go to the Company prior to you receiving your new Unit number. The Company will not process an Agreement that is not filled out properly.

Question: If I place an order today, when will it show up on my production report online?

Normally, within 48 hours; unless the order is placed on a weekend or a holiday. It could take up to 72 hours to show up online. You can also check with your Sales Director, whose online report is updated more frequently.

NOTE: You CANNOT submit for DIQ UNTIL your EIGHT recruits are ACTIVE. If you activated all the recruits at the end of the month, then submitted DIQ the beginning of the following month; your production for the month in which they were activated WILL NOT COUNT.

FAQ - Career Car
See Mary Kay In Touch (if you are a consultant)

Vibe - Qualification
You may qualify as a Grand Achiever in one, two, three or four months, based on when you achieve the following:

$18,000 combined personal/team wholesale Section 1 production
12 active personal team members
You may contribute up to $4,000 in personal wholesale Section 1 production toward the total $18,000 requirement.
Your team must contribute a minimum of $14,000 wholesale Section 1 production toward the total $18,000 requirement.
You must have a minimum of $4,000 combined personal/team wholesale Section 1 production each month of the qualification period while maintaining five or more active personal team members.
You must be active.

*To select the Grand Achiever Career Car, you must meet the requirements of the Career Car Insurance program and at the time of qualification possess a valid U.S. driver’s license. In addition, you must possess a Social Security card or Individual Taxpayer Identification Number (ITIN). Independent Beauty Consultants in Guam, Puerto Rico or the U.S. Virgin Islands will receive Cash Compensation only and will not have the option to choose the use of a Grand Achiever Career Car.

Grand Achiever Program (Continued)
Team Maintenance Requirements (Maintenance starts the month following qualification and continues through the requalification period as long as minimum maintenance requirements are met.)

Minimum of $4,500 net adjusted team wholesale production per month.
Receive $600 car program credit toward the required $4,500 net adjusted team wholesale production per month for each new, qualified personal team member.
Minimum of five active personal team members
Remain current on monies owed the Company
If production falls below the minimum monthly maintenance requirement, you may be allowed to maintain the reward as long as you have five or more active personal team members and steady improvement is made toward the minimum monthly production requirement.

Performance Account and Momentum Month

Performance account is utilized to offset production shortfalls below the monthly minimum maintenance requirement of $4,500 net adjusted team wholesale production per month, and does not count toward on-target status or requalification requirements.
Performance account is established after qualification with $4,500 wholesale balance.
Your first month after qualification is your momentum month, and all production in this month, including car program credit, will be doubled.
Each month production in excess of the required $4,500 adds to the performance account; less than the required $4,500 depletes the performance account.
Maximum performance account balance that can be carried forward from month to month is $13,500.

Grand Achiever Career Car* (Consultants only)

Grand Achiever Career Car is in lieu of Cash Compensation.
Co-op lease payment is due if the performance account is depleted and production falls short of the required $4,500 net adjusted team wholesale production.
The co-op lease payment amount is determined by the Grand Achiever Co-op Lease Payment Schedule on the next page and deducted from the following month’s commission check.
If the commission check is not sufficient to cover the co-op lease payment, the balance must be paid to Mary Kay Inc. by the 21st of the current month.
Return of a career car prior to the end of the maintenance period may impact future eligibility and rewards under the Career Car Program.

*If you choose the Grand Achiever Career Car, you will be required to maintain this reward through the 24-month maintenance period, unless you qualify for Cadillac reward/status prior to the end of the maintenance period. Please note, you may qualify for Premier Club during your requalification period.

Requalification

Independent Beauty Consultant
- Requalification starts the 21st month after the qualification month.
- Same as qualification rules.
- $600 car program credit counts toward required production.
- Performance account balance does not count toward on-target status or requalification requirements.
- Performance account balance following requalification is re-established after qualification with a $4,500 wholesale balance or the current performance account balance, whichever is greater.
Independent Sales Director
- Requalification starts the sixth quarter of possession for Premier Club/Cadillac.
  - The sixth quarter of possession is the calendar quarter that includes the 21st month after qualification.
- For Premier Club/Cadillac qualification requirements, see Pages 4 and 7.
  - If Premier Club/Cadillac qualification requirements are not met by the end of your eighth quarter of possession, you may qualify for Grand Achiever status (Cash Compensation only) by using the last four months of your seventh and eighth quarters.

Independent Sales Director Unit Maintenance Option
The Grand Achiever Unit Maintenance Program option is available to Independent Sales Directors who are in maintenance of their Grand Achiever reward and does not effect Grand Achiever reward options, on-target requirements, qualification requirements or requalification requirements.

Maintenance

Independent Sales Directors who are qualified or qualify as Grand Achievers will be allowed to switch at the beginning of a calendar quarter from the Grand Achiever Team Maintenance Program to the Grand Achiever Unit Maintenance Program.
Once the Independent Sales Director switches to the Grand Achiever unit maintenance program the performance account is no longer applicable. The Independent Sales Director’s net adjusted unit wholesale production during the quarter will determine the amount of any monthly co-op lease payments or cash compensation payments in the following quarter.
Minimum of $24,000 net adjusted unit wholesale production per calendar quarter.
Production in excess of $24,000 in each quarter will carry forward to the next quarter to offset any production shortfall below the quarterly maintenance requirements.
$600 car program credit counts toward required production.
Remain current on monies owed the Company.
If production falls below the minimum quarterly maintenance requirement, you may be allowed to maintain the reward as long as steady improvement is made toward the minimum quarterly production requirements.

GRAND PRIX
Premier Club Program
REWARDS

MK SignatureTM platinum Pontiac Grand Prix* or Cash Compensation
Premier Club pin

On-Target

$24,000 net adjusted unit wholesale production in one calendar quarter.

Qualification

$48,000 net adjusted unit wholesale production within two consecutive calendar quarters.
- EXAMPLES:
  - Calendar Quarter 1 Quarter 2 Total
  - Net Wholesale $24,000 + $24,000 = $48,000
  - Net Wholesale $21,000 + $27,000 = $48,000
$600 car program credit counts toward required production.

Maintenance

Maintenance starts the quarter following qualification and continues through your requalification period as long as minimum maintenance requirements are met.
Minimum of $24,000 net adjusted unit wholesale production per calendar quarter.
Excess production from the two qualifying quarters over $48,000 will carry forward to the next quarter to offset any production shortfall below the quarterly maintenance requirements.
Production in excess of $24,000 in each quarter will carry forward to the next quarter to offset any production shortfall below the quarterly maintenance requirements.
$600 car program credit counts toward required production.
Mary Kay Inc. will pay all or part of the monthly leasing costs or Cash Compensation for eight calendar quarters, depending upon the net adjusted unit wholesale production from the prior quarter.
Remain current on monies owed the Company.
If production falls below the minimum quarterly maintenance requirement, you may be allowed to maintain the reward as long as steady improvement is made toward the minimum quarterly production requirements.

* To select the Pontiac Grand Prix reward, you must meet the requirements of the Career Car Insurance Program and at the time of qualification possess a valid U.S. driver’s license. In addition, you must possess a Social Security card or Individual Taxpayer Identification Number (ITIN). Independent Sales Directors in Guam, Puerto Rico or the U.S. Virgin Islands will receive Cash Compensation only and will not have the option to choose the use of a Pontiac Grand Prix. Information contained in this document is subject to change. Career Car Services Contact Information Career Car Services Phone (972) 687-4470 English P.O. Box 799045 Phone (972) 687-4490 Spanish Dallas TX 75379-9045 FAX (972) 687-1619 Career Car Program Guidelines 8

Premier Club Program (Continued)
MK SignatureTM platinum Pontiac Grand Prix

Grand Prix is in lieu of Cash Compensation.
Co-op lease payment is due if production falls below $23,000 net adjusted unit wholesale production per calendar quarter.
The prior calendar quarter’s net adjusted unit wholesale production and the Grand Prix Co-op Lease Payment Schedule below determine the monthly co-op lease payment amount due for the current quarter.
If the commission check is not sufficient to cover the co-op lease payment, the balance must be paid to Mary Kay Inc. by the 21st of the current month.
Return of a career car prior to the end of the maintenance period may impact future eligibility and rewards under the Career Car Program.

MK SignatureTM platinum Pontiac Grand Prix Co-op Lease Payment Schedule
(amounts subject to change)
Quarterly Net Adjusted Unit Monthly Lease
Wholesale Production CO-OP Payment
$23,000 and over -0-
$20,000 to $22,999 $ 50
$17,000 to $19,999 $100
$14,000 to $16,999 $150
$11,000 to $13,999 $250
$8,000 to $10,999 $350
$0 to $7,999 $500

Cash Compensation Option

Cash Compensation is in lieu of the Grand Prix.
Cash Compensation is paid each month of a quarter based on the previous quarter net adjusted unit wholesale production and the Premier Club Cash Compensation Payment Schedule below.

Premier Club Cash Compensation Payment Schedule
(amounts subject to change)
Quarterly Net Adjusted Unit Monthly Cash
Wholesale Production Compensation
$23,000 and over $500
$20,000 to $22,999 $450
$17,000 to $19,999 $400
$14,000 to $16,999 $350
$11,000 to $13,999 $250
$8,000 to $10,999 $150
$0 to $7,999 -0-

Note: Cash Compensation payments begin with the final commission check received in the fourth month following qualification. Information contained in this document is subject to change. Career Car Services Contact Information Career Car Services Phone (972) 687-4470 English P.O. Box 799045 Phone (972) 687-4490 Spanish Dallas TX 75379-9045 FAX (972) 687-1619 Career Car Program Guidelines 9

Premier Club Program (Continued)
Requalification

$48,000 net adjusted unit wholesale production during the sixth and seventh quarters of possession or during the seventh and eighth quarters of possession.
$600 car program credit counts toward required production.
If a Sales Director has not qualified by the end of her eighth quarter of possession, but did achieve $24,000 net adjusted unit wholesale production in her eighth quarter (i.e., is on-target), she may combine her eighth and ninth quarters to requalify.

Note: Quarter of possession starts the second quarter following qualification.

Car Program Credit

Receive $600 car program credit for each new, qualified personal team member.
Initial order with the Company must be $600 or more in wholesale Section 1 products, and must be received and accepted by the Company in the same or following calendar month that the Independent Beauty Consultant Agreement was received and accepted by the Company.
Car program credit applies toward the required qualification requirements, maintenance requirements and requalification requirements.

Net Adjusted Unit Wholesale Production
An Independent Sales Director’s net adjusted unit wholesale production includes unit wholesale production, plus car program credit, less any chargebacks. Information contained in this document is subject to change.

CADILLAC
Cadillac Program
Rewards

Cadillac* or Cash Compensation
Cadillac pin

On-Target

$48,000 net adjusted unit wholesale production in one calendar quarter.

Qualification

$96,000 net adjusted unit wholesale production within two consecutive calendar quarters.
- EXAMPLES:
  - Calendar Quarter 1 Quarter 2 Total
  - Net Wholesale $48,000 + $48,000 = $96,000
  - Net Wholesale $40,000 + $56,000 = $96,000
$600 car program credit counts toward required production.

Maintenance

Maintenance starts the quarter following qualification and continues through your requalification period as long as minimum maintenance requirements are met.
Minimum of $48,000 net adjusted unit wholesale production per calendar quarter.
Excess production from the two qualifying quarters over $96,000 will carry forward to the next quarter to offset any production shortfall below the quarterly maintenance requirements.
Production in excess of $48,000 in each quarter will carry forward to the next quarter to offset any production shortfall below the quarterly maintenance requirements.
$600 car program credit counts toward required production.
Mary Kay Inc. will pay all or part of the monthly leasing costs or Cash Compensation for eight calendar quarters, depending upon the Independent Sales Director’s net adjusted unit wholesale production from the prior quarter.
Remain current on monies owed the Company.
If production falls below the minimum quarterly maintenance requirement, you may be allowed to maintain the award as long as steady improvement is made toward the minimum quarterly production requirements.

* To select the Cadillac reward, you must meet the requirements of the Career Car Insurance Program and at the time of qualification possess a valid U.S. driver’s license. In addition, you must possess a Social Security card or Individual Taxpayer Identification Number (ITIN). Information contained in this document is subject to change. Career Car Services Contact Information Career Car Services Phone (972) 687-4470 English P.O. Box 799045 Phone (972) 687-4490 Spanish Dallas TX 75379-9045 FAX (972) 687-1619 Career Car Program Guidelines 11

Cadillac Program (Continued)
Cadillac

Cadillac is in lieu of Cash Compensation.
Co-op lease payment is due if production falls below $45,000 net adjusted unit wholesale production per calendar quarter.
The prior calendar quarter’s net adjusted unit wholesale production and the Cadillac Co-op Lease Payment Schedule below determine the monthly co-op lease payment amount due for the current quarter.
If the commission check is not sufficient to cover the co-op lease payment, the balance must be paid to Mary Kay Inc. by the 21st of the current month.
Return of a career car prior to the end of the maintenance period may impact future eligibility and rewards under the Career Car Program.

Cadillac Co-op Lease Payment Schedule
(amounts subject to change)
Quarterly Net Adjusted Unit Monthly Lease
Wholesale Production CO-OP Payment
$45,000 and over -0-
$42,000 to $44,999 $ 90
$39,000 to $41,999 $180
$35,000 to $38,999 $270
$31,000 to $34,999 $450
$27,000 to $30,999 $630
$0 to $26,999 $900

Cash Compensation Option

Cash Compensation is in lieu of the Cadillac.
Cash Compensation is paid each month of a quarter based on the previous quarter’s net adjusted unit wholesale production and the Cadillac Cash Compensation Payment Schedule below.

Cadillac Cash Compensation Payment Schedule
(amounts subject to change)
Quarterly Net Adjusted Unit Monthly Cash
Wholesale Production Compensation
$45,000 and over $900
$42,000 to $44,999 $810
$39,000 to $41,999 $720
$35,000 to $38,999 $630
$31,000 to $34,999 $450
$27,000 to $30,999 $270
$0 to $26,999 -0-

Cadillac Program (Continued)
Requalification

$96,000 net adjusted unit wholesale production during the sixth and seventh quarters of possession or during the seventh and eighth quarters of possession.
$600 car program credit counts toward required production.
If an Independent Sales Director has not qualified by the end of her eighth quarter of possession, but did achieve $48,000 net adjusted unit wholesale production in her eighth quarter (i.e., is on-target), she may combine her eighth and ninth quarters to requalify.

Note: Quarter of possession starts the second quarter following qualification.

Car Program Credit

Receive $600 car program credit for each new, qualified personal team member.
Initial order with the Company must be $600 or more in wholesale Section 1 products, and must be received and accepted by the Company in the same or following calendar month that the Independent Beauty Consultant Agreement was received and accepted by the Company.
Car program credit applies toward the required qualification requirements, maintenance requirements and requalification requirements.

FAQ - QUITTING MARY KAY

If I decide to “quit” Mary Kay and return my inventory for repurchase, will I ever get to sign up again?

They say you will NEVER get to return to MK as a consultant, but depending on your circumstances, they will consider it. IF you want to “leave the door open”, simply let your consultant ID expire by not ordering and reinstate for a small fee later on. However, IF you have ordered a ton of unnecessary inventory in the last year, think about your family and get your money back.

I just signed up and I found out things that I do not like, I want to quit. Can I return my starter kit?

YES. You can return your starter kit with the FIRST 30 days, UNUSED for a full refund, thereafter you get 90% back (unused). We tell many of our members that it is a good deal, for all you get, but that is up to you.

Am I a “failure” if I quit Mary Kay?

No, they tell you to “try it on” and see if it works. No one is a failure for quitting something. In fact, some things are worth quitting. Because Mary Kay is a direct selling business focusing more and more on recruiting than selling so sales force members can make it to the top faster, little training is given to consultants to actually sell the product and many become discouraged. That’s not your fault. Getting away from lying, abusive directors who promote inventory frontloading and not selling is a healthy thing to do and there ARE those who do those things.