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Business · Sales & Pay

Commission Calculator — Flat, Tiered, Quota, Draw & Total Pay

Work out sales commission three ways: what you earn on a sales figure, the rate behind a commission you were paid, or the sales you need to hit a target. Handles flat rates, tiered (slab) rates and whole-amount tiers, a quota before commission starts, a cap, your share of a split commission, base pay, and a draw against commission that's recoverable or not.

Also listed inSalary & Tax

Your inputs

Quick start — try a typical case

₹ 8 lakh

Total sales (or the property price, for an agent) for the period.

%

Commission is paid only on sales above this amount. 0 = from the first sale.

Your result Live

Commission Earned

₹24,000

3.00% of ₹8,00,000 in sales

Effective Commission Rate
3.00%

How this is calculated

Flat: C = (Sales − Quota) × r · Tiered: C = Σ (sales in slab × slab rate) · Whole-amount tier: C = Sales × rate of the slab reached · then cap, then × your share

r
Commission rate as a decimal
Draw
An advance; at settlement you receive commission − draw (never below 0)

A flat commission is a single percentage of sales, often only above a quota. Tiered plans work like tax slabs: each band of sales earns its own rate, so moving into a higher slab raises the rate only on the extra sales. Some plans instead apply the rate of the highest slab reached to all sales — a big jump at each threshold. A draw is an advance paid every period; if commission is lower, a recoverable draw is clawed back from later commission, a non-recoverable one isn't.

Assumptions & sources

  • Commission is on the sales figure entered (net of returns if your plan says so).
  • The cap applies before your share of a split is taken.
  • Taxes on commission income (TDS, GST on brokerage) aren't deducted here.
  1. 1Percentages — profit, loss and commission — NCERT Mathematics, Class 8 — Comparing Quantities

Calculator ID BIZ-COMMISSION-001 · version 1.0.0

Common questions

How is tiered commission calculated?

Each slab's rate applies only to the sales inside that slab. With 2 % up to ₹5 lakh, 4 % to ₹10 lakh and 6 % above, ₹8 lakh of sales earns 2 % of ₹5 lakh + 4 % of ₹3 lakh = ₹22,000.

What's the difference between recoverable and non-recoverable draw?

Both pay you an advance. If your commission falls short, a recoverable draw is taken back from future commission; a non-recoverable draw is yours to keep.

How do I find the commission rate?

Divide the commission by the sales and multiply by 100. ₹24,000 on ₹8 lakh is 3 %.