Tool
Sales Commission Calculator
Calculate sales commission payouts cleanly — supports flat, tiered, and accelerator models.
Summary
Keep commission plans simple enough to explain in one page. Flat % works for most SMEs; tiered rewards stretch performance.
Base commission
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Accelerator
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Total payout
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Common commission structures
- Flat % — same rate on all revenue. Simple, fair, easy to explain.
- Tiered — higher % at higher revenue bands. Rewards volume.
- Accelerator over quota — standard % below quota, higher % above. Encourages exceeding target.
- SPIFs / bonuses — one-off incentives for specific products or periods.
Design principles
- Commission should be affordable at 100% quota attainment
- Top performers should earn visibly more than average ones
- Pay monthly, not quarterly, for motivation
- Avoid clawbacks unless absolutely necessary — they kill morale
Frequently asked questions
Base salary + commission ratio?
Common SME split is 60/40 (base/variable) for field sales, 70/30 for inside sales. Adjust based on deal cycle length.
Next step
Keep exploring related resources to strengthen this area of the business.
See Sales Target CalculatorPhase 2 content slot (ads / affiliate)