💰 Commission Calculator

Calculate sales commission earnings

Enter 0 if commission-only

How to Use This Calculator

1

Enter Total Sales Amount

Input the total sales amount you've made or are projecting for the commission period.

2

Enter Commission Rate

Enter your commission rate as a percentage (e.g., 5 for 5% commission).

3

Enter Base Salary (Optional)

If you have a base salary in addition to commission, enter it here. Leave as 0 if commission-only.

4

Review Commission and Total Earnings

See your commission amount, base salary (if any), and total earnings. Use this to understand your income and plan your sales goals.

Formula

Commission = Sales Amount × (Commission Rate / 100)

Total Earnings = Base Salary + Commission

Example Calculation:

If sales $50,000, commission rate 5%, base salary $30,000:

• Commission = $50,000 × 5% = $2,500

• Total earnings = $30,000 + $2,500 = $32,500

About Commission Calculator

A commission calculator helps sales professionals calculate their commission earnings based on sales performance. Commission is a performance-based compensation structure where earnings are tied to sales results. This calculator supports both straight commission (commission-only) and base salary plus commission structures. Understanding your commission structure helps you plan your sales goals, track your earnings, and make informed decisions about your sales strategy.

When to Use This Calculator

  • Sales Planning: Calculate expected commission earnings
  • Income Planning: Plan your income based on sales targets
  • Goal Setting: Set sales goals to achieve desired earnings
  • Compensation Review: Understand your commission structure

Understanding Commission Structures

  • Straight Commission: Commission-only, no base salary
  • Base + Commission: Base salary plus commission on sales
  • Tiered Commission: Higher rates at higher sales levels
  • Draw Against Commission: Advance payments against future commissions

Why Use Our Calculator?

  • ✅ Commission Calculation: Calculate commission earnings accurately
  • ✅ Income Planning: Plan your income based on sales
  • ✅ Goal Setting: Set sales goals for desired earnings
  • ✅ Compensation Analysis: Understand your commission structure
  • ✅ 100% Free: No registration or payment required

Frequently Asked Questions

How is commission calculated?

Commission is calculated as a percentage of sales. For example, with a 5% commission rate on $50,000 in sales, your commission is $50,000 × 5% = $2,500. If you have a base salary, add it to the commission to get total earnings. Some commission structures are more complex, with tiered rates or different rates for different products or services.

What's the difference between commission and base salary?

Base salary is a fixed amount you earn regardless of sales performance, while commission is variable and based on sales. Base salary provides income stability, while commission provides the opportunity for higher earnings based on performance. Many sales positions offer a combination of both - a base salary plus commission on sales.

Is commission taxable?

Yes, commission is taxable income. Commission is subject to federal income tax, state income tax (if applicable), and FICA taxes (Social Security and Medicare). Commission may be withheld at a higher supplemental rate (22% or 37% federal) depending on the amount and timing. Consult a tax professional for advice on your specific situation.

What's a good commission rate?

A good commission rate depends on your industry, sales role, and compensation structure. Typical commission rates range from 2-10% for base + commission roles, and 5-15% for commission-only roles. Higher-risk roles (commission-only) typically have higher rates. Consider your base salary, typical sales volumes, and industry standards when evaluating commission rates.