Sales Commission Calculator
Sales commission calculator — work out commission per deal, monthly payout, and on-target earnings (OTE) for your reps in seconds.
At $1,000 per deal and 8 deals/month, a rep earns $8,000/mo in commission — $156,000 on-target earnings including base.
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How to Use This Calculator
Enter your average deal value and how many deals a rep closes each month.
Add the commission rate and the rep’s base salary.
Instantly see commission per deal, monthly commission, and total on-target earnings (OTE).
Frequently Asked Questions
How do you calculate sales commission?
Commission per deal = deal value × commission rate. Multiply by deals closed per month for monthly commission, and add base salary for on-target earnings (OTE). For example, a $10,000 deal at 10% pays $1,000 per deal.
What is OTE (on-target earnings)?
OTE is a rep’s total expected pay when they hit quota — base salary plus expected commission. It is the number reps evaluate a job offer on, so getting it right is key to hiring and retention.
What is a typical sales commission rate?
Commission rates commonly range from 5% to 20% of deal value depending on industry, deal size, and whether the rep also earns a base salary. SaaS and high-velocity sales often sit around 10%.
Should reps have a base salary plus commission?
Most B2B sales roles use a base-plus-commission model, often a 50/50 to 60/40 split of base to variable. Pure commission suits high-volume, short-cycle sales; complex enterprise sales usually need a larger base.
How do I keep commission tracking accurate?
Tie commissions directly to closed-won deals in your CRM so reps and finance always work from the same numbers. Manual spreadsheets drift quickly as deal volume grows and create disputes.
Why Use This Calculator
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Calculate commission per deal and per month
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See full on-target earnings (base + commission)
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Model different commission rates instantly
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Set fair, motivating comp plans backed by numbers
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