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M2TOOLKIT

Commission Calculator

Work out commission on a sale, including tiered plans that pay more above a target.

  • Free
  • No sign-up
  • Nothing is sent or stored
%

Result

Commission earned
$1,250.00
Effective rate
5%
How it was calculated
  1. $25,000.00 × 5% = $1,250.00

The calculation happens instantly in your browser. The numbers you enter are not sent to our servers or saved.

How to use the Commission Calculator

  1. Enter the sale amount.
  2. Enter the commission rate.
  3. For tiered plans, set the threshold and the higher rate.
  4. Optionally add your base salary for the period.

What does this tool do?

Sales, real estate and recruitment roles often pay commission as a percentage of the sale. Tiered plans pay a higher rate on the portion above a threshold — only that portion, not the whole sale.

Why use it?

  • Check your commission statement.
  • Compare job offers with different plans.
  • See your effective commission rate.

Example: tiered commission

Sales of $25,000 with 5% up to $20,000 and 8% above it: 5% of $20,000 is $1,000 and 8% of the remaining $5,000 is $400, so the commission is $1,400 — an effective rate of 5.6%.

The formula

Flat: Commission = Sale × Rate
Tiered: Threshold × Rate₁ + (Sale − Threshold) × Rate₂

Privacy

The calculation happens instantly in your browser. The numbers you enter are not sent to our servers or saved. There's no account to create and nothing to install.

Last reviewed by the M2Toolkit team.

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