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Commission Calculator

Calculate commission earnings, take-home pay and annual income for any commission structure.

Enter Details

$100,000
5%
$3,000
$80,000
28%

Results

Commission Earned$5,000
Gross Monthly Income$8,000
Annual Gross Income$96,000
Monthly Take-Home$5,760
Annual Net Income$69,120
Commission as % of Pay62.5%
Results are estimates for educational purposes only. Not financial advice.

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Frequently Asked Questions

How do tiered commission structures work?

Tiered commissions pay higher rates as you hit higher sales levels. Example: 3% on first $50,000 in sales, 5% on $50,000-$100,000, and 8% above $100,000. This incentivizes exceeding quotas. Accelerator structures pay a multiplier (1.5x or 2x the base rate) on sales above quota โ€” common in SaaS and enterprise sales roles.

What is a good commission rate?

Commission rates vary widely by industry: real estate 2.5-3% (of sale price), SaaS software 8-12% (of annual contract value), insurance 5-20% (first year premium), retail 1-5%, car sales $200-$500 flat per car, financial services 0.5-1% AUM, B2B sales 5-10%. The right rate depends on average deal size, sales cycle length, and how much base salary is included.

Is it better to have high base or high commission?

High base with low commission is better for: long sales cycles, complex enterprise deals, or if you value stability. High commission with low base is better for: transactional sales with short cycles, high-volume roles, or experienced sellers confident in their ability. Most top performers prefer uncapped commission plans where exceptional performance is directly rewarded.

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