Free Sales Commission Calculator

Salespeople are compensated based on a predetermined percentage of all sales they generate. Example: If you generate $30,000 in sales while working with a business that pays a commission of 5% of revenue, your commission will be $1,500.

When a salesperson uses this form of compensation structure, he or she earns a fixed amount of commission for every sale made. Example: If you get paid $100 for each sale that you close, the first $100 is considered a placement fee, and the rest is called a commission. As a result, if you close 15 sales in a month, you will get $1,500.

The primary difference between SaaS sales compensation and software (or other product) sales compensation is that you should pay based on the lifetime value of the contract rather than the unit price of the product. The lifetime value of a product is always proportional to its recurring income. As a result, it is simpler to utilise MRR or ARR as the primary measure in calculating commission from the start.