How to use the Sales Commission Calculator
- Enter total sales and base rate.
- Add an optional threshold and higher rate.
- Add base salary and read total pay.
How it works
Commission = Sales × Rate. With a tier: Threshold × Rate + (Sales − Threshold) × Higher rate. Total pay = Commission + Base salary.
Worked example
500,000 sales at 5% up to 300,000 and 8% above: 15,000 + 16,000 = 31,000 commission; with 30,000 base, total pay 61,000.
Good to know
Real plans may include quotas, caps, clawbacks and accelerators.
Commission on gross vs net sales varies by employer.
Results are before tax.
Frequently asked questions
Multiply sales by the commission rate.
A higher rate on sales above a set threshold.
Yes, it is generally taxable income; this tool is pre-tax.