Commission Calculator
Calculate flat-rate or tiered sales commission
Frequently Asked Questions
Multiply the total sale amount (or total sales for the period) by the commission rate: commission = sale amount × rate. For example, a 5% commission on a $40,000 sale is $40,000 × 0.05 = $2,000.
A tiered structure pays a different rate on different portions of sales — for example, 3% on the first $50,000, 5% on the next $50,000, and 7% on everything above $100,000. Each tier's rate only applies to the amount that falls within that tier, not the whole sale — similar to how income tax brackets work.
A draw is money advanced to a salesperson before commissions are earned, which gets subtracted from commission once it's calculated. If your draw exceeds what you earned in commission, some agreements require you to carry the difference forward or repay it — check your specific commission agreement.
This gives a mathematical estimate based on the rate structure and numbers you enter. Actual commission plans often include additional rules — caps, accelerators, clawbacks for returns, or minimum quota requirements — that this calculator doesn't model.
Yes — switch to "Find sale amount" mode, enter the commission you earned and the flat rate, and it divides commission by the rate to back into the original sale amount. This reverse calculation only works cleanly for a flat rate; a tiered structure can have multiple sale amounts producing the same commission total, so reverse mode is flat-rate only.