Method
How to calculate estimated commission
This model uses one flat rate above one threshold. Tiered rates, accelerators, clawbacks and caps need separate calculations.
FORMULACommission = max(0, eligible sales − threshold) × commission rate
Worked example
Commission calculator example
$150,000 sales above a $25,000 threshold leave $125,000 eligible for a 5% commission.
Change one assumption at a time to see what drives the result. The output is an estimate, not a quote, forecast or recommendation.
FAQ
Commission calculator FAQ
What if sales are below the threshold?
The modeled commission is zero; base pay remains separate.
Does this support tiered commission?
No. Calculate each tier separately and add the results.
Is commission tax included?
No. The result is gross commission before withholding or other deductions.