About the Commission Calculator
Commission Calculator works out what a salesperson, agent or affiliate earns from sales. Use One rate for a plain percentage of sales, Tiers when the percentage rises at higher sales levels, or Sales needed to find how much you must sell to reach a commission goal. You can add a base salary, and you can give away a share of the commission, for example to a team or a brokerage, to see what you keep. The tiered mode shows a table of each slice of sales with its own rate, so you can see exactly where the money comes from. The tool also shows the effective rate, the average percentage you really earn on all sales. It runs in your browser and saves nothing.
Updated September 2026
How to use the Commission Calculator
- 1Choose One rate, Tiers or Sales needed.
- 2Enter your total sales and the commission rate. For tiers, enter the sales level where each rate starts and the rate.
- 3Optional: add a base salary or the share of the commission you pass on.
- 4Pick a currency symbol.
- 5Read your commission and, for tiers, check the table of slices below it.
How commission plans usually work
Commission links pay to results. The simplest plan pays a fixed percentage of every sale, which is easy to understand and to check. Many companies add tiers to reward extra effort, paying a higher percentage once sales pass a target, while some pay a low base salary and rely on commission for most of the income. Real estate, insurance, retail, recruitment, car sales and affiliate marketing all use versions of it.
Because plans differ, it helps to write yours down as a rate, a threshold and a base, and then test it with a few sales figures. This tool lets you do that quickly, so you can see how much extra a large month adds and whether a tier is worth chasing.
Using the three modes
- One rate: type total sales and the percentage. Best for a simple agreement.
- Tiers: add a row for each threshold and its rate. The first row should start at 0.
- Sales needed: type the commission you want and the rate to see the sales required.
Splits, salary and the effective rate
Many agents share commission. A real estate agent may pass part to the brokerage, and a team member may pass part to a leader. Enter that share and the tool shows what you keep and what goes on. Adding a base salary shows the whole pay for the month, which is useful when comparing a job with a high base against one with a high rate.
The effective rate is the total commission divided by total sales. It shows how a tiered plan really behaves. A plan that pays 3 percent, then 5 percent, may end up at 4 percent overall, so it should be compared with a flat 4 percent offer, not with 5.
Things to check before you rely on the number
Ask whether commission is paid on the date of sale or the date the customer pays, whether returns are deducted, and whether the percentage applies to the price with or without tax. Check for caps and for what happens if you leave. Tax on commission is usually taken from the pay, so the take-home figure will be lower.
For related sums, Percentage Calculator handles any other percentage, Profit Margin Calculator shows margin and markup, Salary Calculator turns gross pay into take-home pay and Discount Calculator shows what a sale price does to the amount you can charge.
Features
- One flat rate, or up to eight tiers
- Marginal tiers with a slice-by-slice table
- Sales needed to reach a commission target
- Base salary added to commission
- Share of commission passed to a team or agent
- Effective commission rate
- Copy the result
- Runs in your browser
Frequently asked questions
How do I calculate commission?
Multiply your sales by the commission rate as a decimal. Sales of 50,000 at 5 percent earn 2,500. Using the tool, choose One rate, enter the sales and the rate, and the commission appears with the effective rate.
What is tiered commission?
In a tiered plan the rate increases as sales rise. In the usual marginal form, each rate applies only to the slice of sales inside its tier. With 3 percent on the first 20,000 and 5 percent above that, sales of 50,000 earn 600 plus 1,500, which is 2,100.
What is the difference between marginal and whole-amount tiers?
Marginal tiers apply the higher rate only to the extra sales above the threshold. Some plans instead pay the higher rate on all sales once you pass the threshold. This tool uses the marginal method. For the other type, work out the rate you reach and use One rate.
How do I find how much I need to sell to earn a certain commission?
Divide the commission you want by the rate as a decimal. To earn 3,000 at 4 percent you need sales of 75,000. Choose Sales needed and enter the goal and the rate.
How does the split work?
Enter the percentage of your commission that goes to someone else, such as a team lead or a brokerage. The tool shows the commission before the split, the amount given away and what you keep. A 40 percent split of 2,000 leaves you 1,200.
What is the effective commission rate?
It is your total commission divided by your total sales. With tiers it will fall between the lowest and highest tier rates, because the lower rates apply to early sales. It is the fairest single number for comparing two plans.
Does the tool handle commission on profit or on caps?
No. It takes the sales figure you type and applies percentages to it. If your plan pays on gross profit, enter the profit as the sales figure. Caps, clawbacks, accelerators after quota and bonus payments must be worked out separately.