SALES COMMISSION

Commission Calculator

Enter your sales and rate to work out commission, your share, and total pay.

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SALES COMMISSION

How sales commission works

Commission is a percentage of sales. The amount you receive can be reduced by a split, then added to your base pay.

FORMULA

Multiply the sales amount by the commission rate. Use the rate as a decimal when you work it out by hand.

Gross commissionSales amount × commission rate

EXAMPLE

The gross commission is $3,000. With a $2,000 base pay and no split, total pay for the period is $5,000.

SPLITS AND TARGETS

If you keep 50% of a 6% commission, your effective rate is 3%. To earn $1,500, you need $50,000 in sales.

Gross commissionSales × rate

Your commissionGross commission × your share

Sales neededTarget commission ÷ effective rate

QUESTIONS

How do you calculate sales commission?

Multiply the sales amount by the commission rate. A $50,000 sale at 6% pays $3,000 in gross commission.

What is gross commission?

Gross commission is the full commission before any split with a broker, agency, teammate, or other party.

How do commission splits work?

Multiply gross commission by the percentage you keep. If a $3,000 commission is split 50/50, your share is $1,500.

How do I calculate total pay with commission?

Add your base pay to the commission you keep. If your base pay is $2,000 and your commission is $1,500, total pay is $3,500.

How much do I need to sell to reach a commission target?

Divide the commission you need by your commission rate after any split. At a 5% rate with no split, earning $2,500 requires $50,000 in sales.