This estimates gross commission from your visible plan assumptions. It does not calculate payroll tax, draw reconciliation, clawbacks, bonuses, or employer-specific rules.
Planning estimate only. Platform fees, taxes, payment costs, and policies can change; verify current terms before pricing.
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How this calculator works
Formula
Flat mode multiplies all sales by one rate. Threshold mode multiplies only sales above the threshold. Progressive tier mode applies each tier rate only to the sales amount inside that tier, then sums the tier commissions.
Worked example
For $40,000 in sales with 3% on the first $10,000, 5% from $10,000 to $25,000, and 7% above $25,000, commission is $300 + $750 + $1,050 = $2,100, an effective rate of 5.25%.
Assumptions to verify
- Tiered mode is progressive and does not retroactively apply the highest reached rate to all sales.
- Threshold mode pays only on the portion above the entered threshold.
- Payroll tax, draws, caps, bonuses, returns, clawbacks, and contract eligibility are excluded.
Frequently asked questions
What is a progressive tier plan?
Each rate applies only to the sales inside its tier, similar to brackets rather than applying the top rate to every dollar.
What does effective commission rate mean?
It is total calculated commission divided by gross sales, useful for comparing differently structured plans.
Does this estimate take-home pay?
No. It estimates gross commission before payroll tax, benefits, draws, deductions, or employer-specific adjustments.
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