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Commission Calculator

LAST UPDATE: September 1st, 2018

Calculator

What is commission?

Commission is an amount paid to the person or company selling it on the sale of an item.

Payment is often as a percentage of revenue (sales commission), a percentage of profit (profit commission), or a designated amount per unit sold (unit commission).

Formula

Sales Commission = Sale Price x (Revenue Commission / 100%)

Profit Commission = Profit x (Profit Commission / 100%)

Unit Commission = Quantity Sold x Commission per Unit

Example

In our example business, sales commission is 2% on revenue and 20% on profit. There is a bonus of $10 per unit sold.

The salesperson sells 3 units for a total revenue of $500 and $100 profit.

Sales Commission = $500 x (2% / 100%) = $500 x 0.02 = $10

Profit Commission = $100 x (20% / 100%) = $100 x 0.20 = $20

Unit Commission = $3 x 10 = $30

Total Commission = $10 + $20 + $30 = $60

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