🤝 Commission Calculator
Calculate sales commission with a flat rate or tiered rates, and find the sales needed to hit a target.
How the Commission Calculator Works
Commission is pay calculated as a share of the sales you make. With a flat rate, the same percentage applies to every sale. With a tiered (graduated) plan, each band of sales earns its own rate — for example 5% on the first 10,000 and 8% on everything above it. As with income tax brackets, a higher tier rate applies only to the portion of sales inside that tier, not to all sales.
The calculator also works backwards: enter the commission you want to earn and it shows the sales you would need at a flat rate. It works in any currency — agents, real estate, recruiting, affiliate marketing, and retail staff can all use it.
Formula
Flat: commission = sales × rate Tiered: commission = Σ (sales inside each tier × that tier's rate) Target: sales needed = target commission ÷ rate (flat rate)
How to Use It
- Choose flat rate or tiered.
- Enter the sales amount and the rate(s). For tiers, enter where each tier starts.
- Read the commission and the effective overall rate.
- Optionally enter a target commission to see the sales needed.
Frequently Asked Questions
How is sales commission calculated?
Multiply the sales amount by the commission rate. For 25,000 in sales at 6%, the commission is 25,000 × 0.06 = 1,500.
How does tiered commission work?
Each tier rate applies only to sales inside that tier. With 5% up to 10,000 and 8% above, sales of 15,000 earn 10,000 × 5% + 5,000 × 8% = 500 + 400 = 900, an effective rate of 6%.
What is the difference between commission and a bonus?
Commission is usually tied directly to each sale as a percentage, while a bonus is often a fixed amount paid for reaching a target. Some pay plans combine a base salary, commission, and bonuses.
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Formula and content last reviewed: September 2026. All calculations run in your browser — nothing you enter is sent to or stored on our servers.
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See all →✔ Reviewed by GelirLab Editöryal Ekibi · Last reviewed: September 2026 · How we check our calculators