Commission Calculator
A 10% commission on $50,000 in sales earns $5,000. Enter your total sales, commission rate, and optional base salary to calculate your commission and total earnings.
Quick answer
Commission is a percentage of sales paid to a salesperson.
What this tells you
- •Commission is a percentage of sales paid to a salesperson.
- •Total earnings add any base salary or draw to the commission.
- •Commission per $1,000 of sales restates the rate at a per-thousand scale.
How to Use
- 1Enter your total sales amount.
- 2Enter your commission rate as a percent.
- 3Optionally enter a base salary or draw.
- 4Click Calculate to see your commission and total earnings.
How It Works
Formula
Commission = Sales × (Rate / 100)The calculator multiplies sales by the commission rate divided by 100 to return the commission amount. Total earnings add any base salary.
Calculation note: values are processed in the order shown above, using the current input units.
Worked Examples
Straight commission
A 10% rate on $50,000 in sales earns $5,000 in commission.
Base plus commission
A 5% rate on $80,000 with a $30,000 base earns $4,000 commission and $34,000 total.
Typical Commission Rates by Role
| Sales role | Typical commission rate |
|---|---|
| Real estate agent | 2.5-3% of sale price |
| SaaS / B2B sales | 5-10% of revenue |
| Insurance agent | 5-15% of premium |
| Manufacturing rep | 5-10% of sales |
| Retail sales | 1-5% of sales |
These are broad ranges, not guarantees. Actual rates vary by industry, product, and deal structure.
What Is a Good Commission Rate?
A good commission rate depends on the industry, product price, and how much of the sale the rep owns. Real estate agents often earn 2.5% to 3% of the sale price because the deal value is large, while SaaS and B2B reps commonly earn 5% to 10% of revenue on smaller recurring deals.
The most useful comparison is your own plan over time. A rate that looks low on a high-ticket product can pay more than a high rate on a small one, so pair the rate with average deal size and quota attainment when you judge a plan.
Common mistakes
- Confusing commission rate (percent of sales) with markup or margin (percent of cost or revenue)
- Forgetting to add a base salary or draw when comparing total earnings
- Comparing rates across very different industries without accounting for deal size and volume