Sales Commission Calculator
Calculate tiered sales commission across multiple brackets with quota attainment.
What the Sales Commission Calculator does
Tiered commission pays escalating rates as a salesperson passes quota thresholds. Each tier applies only to the sales within that band, exactly like progressive tax brackets.
Formula
Tier 1: Sales up to quota × Base rateTier 2: Sales between quota and 150% × Accelerated rateTier 3: Sales above 150% × Top rateTotal = Sum of all tiers + Base salary
Inputs explained
| Input | Unit | Required | Notes |
|---|---|---|---|
| Total sales | selected currency | Yes | Accepts more than 0. |
| Sales quota | selected currency | Optional | Accepts 0 or more. |
| Base salary | selected currency | Optional | Accepts 0 or more. |
| Rate up to quota | % | Yes | — |
| Rate above quota | % | Optional | — |
| Rate above 150% of quota | % | Optional | — |
| Currency | one of 10 options | Optional | — |
How to use it
- Choose Currency.
- Enter Total sales and Rate up to quota.
- Optionally add Sales quota, Base salary and Rate above quota.
- Select Calculate.
Worked example
$680,000 of sales against a $500,000 quota, at 5%, 8% and 12% tiers with a $60,000 base.
- Sales
- 680000
- Quota
- 500000
- Base
- 60000
- Tiers
- 5 / 8 / 12
$25,000 + $14,400 = $39,400 commission, 136% attainment, $99,400 total earnings.
Frequently asked questions
How do accelerators work?
They raise the commission rate once quota is exceeded, applying only to the sales above that point. The aim is to make exceeding quota substantially more rewarding than merely hitting it.