Sales Compensation & Commission Calculator

This sales compensation and commission calculator and plan is designed for small companies who do not have a formal performance management methodology in place for their sales reps. While most sales reps will be assigned a simple quota, this tool allows a sales manager or CEO to put more structure and expectation attached to that quota. Therefore, this is INTENDED to be a simple, straightforward and easy to use method to help a CEO or sales leader to:

Plan a sales rep's quota
Structure expectations of minimum performance and rewards for over achievement.
Calculate cost of sales at various achievement levels
Guide a sales rep to plan and/or forecast their own earnings at various achievement levels

Please see How to use the Sales Compensation Calculator for a complete guide and FAQ,

NEW! Display this Sales Compensation Calculator tool on your web site. Free download.

To get started, simply fill in the fields below, then click "calculate" to see your completed table. Get a definition of each field by moving your cursor over the adjacent mark.

Annual Quota Input your sales rep's annual sales quota. :
Sales Rep's Salary Input your sales rep's annual salary. Option: Include an amount for benefits to capture fuller base cost. For full commission reps, input 0. :
Commissions start at (% of quota) The premise here is that a rep gets paid a base salary for a certain level of sales and that commissions are paid only AFTER a rep achieves that percentage of their quota. We'll call this the commission threshold. Commission is paid on the dollars above that threshold. Input the percentage as a whole number. Example, input "85" for 85%. For full commission reps, input 0. :
Commission rate The percent you want to pay a rep for their sales above their commission threshold. :
Commission accelerator factor The premise here is that once a rep hits their full quota, you start to pay them more to both reward them and provide an incentive to continue selling. The accelerator factor is applied to the commission rate. Example: Base commission rate of 20% with accelerator factor of 1.25 generates a commission rate of 25% for all sales above the full quota. Input "0" for no commission accelerator factor. :

Performance $	Performance %	Commission	Salary	Total Comp	Cost of sales %
$250,000	50%	$0	$30,000	$30,000	12%
$275,000	55%	$0	$30,000	$30,000	11%
$300,000	60%	$0	$30,000	$30,000	10%
$325,000	65%	$0	$30,000	$30,000	9%
$350,000	70%	$0	$30,000	$30,000	9%
$375,000	75%	$0	$30,000	$30,000	8%
$400,000	80%	$0	$30,000	$30,000	8%
$425,000	85%	$3,750	$30,000	$33,750	8%
$450,000	90%	$7,500	$30,000	$37,500	8%
$475,000	95%	$11,250	$30,000	$41,250	9%
$500,000	100%	$15,000	$30,000	$45,000	9%
$525,000	105%	$19,688	$30,000	$49,688	10%
$550,000	110%	$24,375	$30,000	$54,375	10%
$575,000	115%	$29,063	$30,000	$59,063	10%
$600,000	120%	$33,750	$30,000	$63,750	11%
$625,000	125%	$38,438	$30,000	$68,438	11%
$650,000	130%	$43,125	$30,000	$73,125	11%
$675,000	135%	$47,813	$30,000	$77,813	12%
$700,000	140%	$52,500	$30,000	$82,500	12%
$725,000	145%	$57,188	$30,000	$87,188	12%
$750,000	150%	$61,875	$30,000	$91,875	12%

If you would like an Excel version of this calculator, please Contact Us and we'll be happy to send you one.

BizCompare.com is your source to find a business. Our business directory features tools so you can generate a list of companies for business research, B2B marketing, lead generation or even competitor analysis. And with over 50 industry research reports with insightful graphs so you can compare companies to their peer group for greater context. With over 275,000 free company profiles, we provide comprehensive company info about business services providers across the U.S. including company contacts. Compare to peers and evaluate better!