Commission Calculator

Calculate sales commission at a flat percentage rate and the total earnings once base pay is added.

Calculations happen locally. We do not send your values to our server.

Example

Sales of 10,000 at 5% earn 500 of commission, and with 1,000 of base pay total earnings are 1,500. With no base pay, enter 0: 48,500 at 3.5% earns 1,697.50 and that is the whole paycheque.

Calculation method

Commission is the eligible sales multiplied by the percentage rate. Total earnings add that commission to the base pay for the same period, and both figures are shown so you can check a statement line by line.

Important notes

This is a flat-rate estimate. Real plans may use tiers, quotas, caps, draws, clawbacks for cancelled orders, or a different definition of eligible revenue, and tax is not deducted. Enter the sales figure your plan actually counts, which may exclude tax, shipping, returns or unpaid invoices.

Flat-rate commission plus base pay

Enter the eligible sales, the commission percentage and any base pay for the same period. Sales of 10,000 at 5% earn 500 of commission; with 1,000 of base pay, total earnings are 1,500. With no base pay, enter 0: 48,500 at 3.5% earns 1,697.50. Use the sales figure your plan actually counts, which may exclude tax, shipping, returns or unpaid invoices, rather than the gross amount on an order.

Calculating tiered plans

Many plans pay a higher rate once sales pass a threshold. Calculate each tier separately and add the parts. For 15,000 of sales with 5% on the first 5,000, 8% on the next 5,000 and 12% above 10,000, the tiers earn 250, 400 and 600, for 1,250 in total. That is an effective rate of about 8.33%, not 12%. Check whether your plan is marginal like this or retroactive, where the top rate applies to every sale once the threshold is reached.

Comparing offers

A higher base with a lower rate can pay more at typical sales levels. Sales of 25,000 at 10% with a base of 2,000 give 4,500; to earn the same 4,500 with no base pay at 5% you would need 90,000 of sales. Work out both plans at your realistic low, typical and high sales months before deciding. Draws, caps, clawbacks for cancelled orders and taxes are not modelled, so read the written commission agreement for the details.

Worked examples
InputResult
10,000 × 5% + 1,0001,500 (500)
48,500 × 3.5% + 01,697.5 (1,697.5)
25,000 × 10% + 2,0004,500 (2,500)
5,000 × 5% + 0250 (250)
5,000 × 8% + 0400 (400)
5,000 × 12% + 0600 (600)

Frequently asked questions

How do I handle a tiered plan?

Work out each tier separately and add the parts. On 15,000 of sales with 5% on the first 5,000, 8% on the next 5,000 and 12% above 10,000, the tiers pay 250, 400 and 600, so 1,250 in total. That is an effective rate of about 8.33%, not 12%.

Is my plan marginal or retroactive?

It matters a great deal. A marginal plan applies each rate only to the sales inside that band, as in the 1,250 example above. A retroactive plan applies the top rate reached to every sale, which would pay 12% on all 15,000. The written agreement is what settles it.

How do I compare two offers?

Run both at your realistic low, typical and high months. Sales of 25,000 at 10% with a base of 2,000 give 4,500; matching that 4,500 on a pure 5% commission with no base would take 90,000 of sales. A higher base with a lower rate often wins at ordinary volumes and loses at exceptional ones.

Related tools