Finance

Commission Calculator

Calculate sales commission earnings with flat rate or tiered commission structures.

Total Sales Revenue ($)

Commission Rate (%)

Base Salary ($/yr)

Sales Quota ($)

Commission starts after quota (0 = no quota)

Accelerator Rate Above Quota (%)

Higher rate for exceeding quota

Number of Deals

Formula:
Flat: Commission = Sales × Rate
With Quota: Commission = min(Sales, Quota) × Rate + max(0, Sales − Quota) × Accelerator Rate
Total Comp = Base Salary + Commission

Understanding Sales Commission

Commission-based compensation aligns salesperson incentives with company revenue goals. Common structures include flat rate, tiered, and draw-against-commission models.

Common Commission Structures

Type	Description	Typical Rate
Flat Rate	Same % on all sales	5-15%
Tiered/Accelerated	Higher % after hitting quota	8-20%
Draw Against	Advance paid, offset by future commissions	Varies
Revenue Share	% of recurring revenue	10-30%