Commission Calculator
A commission is a payment earned as a percentage of a sale, common in real estate, recruitment, retail, and any role where pay is tied to results. This calculator turns a sale amount and a rate into the commission earned and the amount left over after it is paid. It works in any currency.
- Net to seller
- Commission
- Sale amount
- $10,000.00
- Commission rate
- 5.00%
- Commission
- $500.00
- Net to seller
- $9,500.00
On a 10,000 sale, a 5% rate pays 500 in commission and leaves 9,500 for the seller. Each one-point change in the rate moves the payout by 100.
How it works
The arithmetic is simple: multiply the sale by the rate as a decimal. A 5% commission on a 10,000 sale is 10,000 × 0.05 = 500. What the rate is paid on, though, matters as much as the rate itself. A real-estate commission is usually taken from the full sale price, while a sales rep might be paid on gross profit, on net revenue after returns, or only on the amount above a quota. Always confirm the base before you trust the headline percentage.
The "net to seller" figure is what remains of the sale after the commission is deducted — useful when you are the one paying it, for example a homeowner working out their proceeds after an agent fee. If you are the one earning, that same commission figure is your gross pay before any tax.
Use the currency switcher to read the result in your own currency; the percentage is the same everywhere.
Commission = Sale amount × commission rate ÷ 100. Net to seller = Sale amount − Commission.
Worked example
A salesperson closes a 10,000 deal at a 5% commission rate. The commission is 10,000 × 0.05 = 500. After the commission is paid, 9,500 of the sale remains — that is the net to whoever owns the underlying revenue. The 500 is the seller’s gross commission before tax.
Things to watch out for
Many real-world plans are tiered or accelerated: the rate rises once a target is passed, so a flat-rate figure understates a high performer’s pay and overstates a low one’s. Some plans pay on margin rather than on the sale price, and some cap total commission. This calculator assumes a single flat rate on the full sale amount — adjust the base or run it tier by tier if your plan is more complex.
Frequently asked questions
Is commission calculated on the sale price or the profit?+
It depends on the plan. Real-estate and retail commissions are usually on the full sale price; many B2B sales plans pay on gross profit or on revenue net of returns. Always check the base before applying the rate.
How do tiered commissions work?+
A tiered plan raises the rate once you cross a threshold — for example 5% up to a quota and 8% above it. Run each tier separately and add the results, since this tool assumes a single flat rate.
Is the commission shown before or after tax?+
Before tax. The commission earned is gross pay; income tax and any other deductions come out afterward, so your take-home will be lower.
Can I use this for any currency?+
Yes. The commission is a straight percentage, so it works in any currency. Use the switcher at the top to display the amounts in yours.
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Disclaimer: This calculator is for educational and informational purposes only and provides estimates, not financial advice. Interest rates, taxes, fees, and local rules vary and change over time. Confirm figures with a qualified professional before making any financial decision.
Last reviewed: 2026-06-22