Sales Commission Calculator

Sales commission: formulas and structures

The basic formula is Commission = Sales · Rate%. Sell R$ 50,000 at 5% and you take home R$ 2,500. Tiered (accelerator) plans bump the rate once a rep clears quota. Say it pays 5% up to R$ 100k and 8% on anything above that. A rep who lands R$ 150k ends up with R$ 5,000 + R$ 4,000 = R$ 9,000. Override commission goes to a manager on the whole team's revenue, usually somewhere between 1-3%. SaaS plans tend to run 8-12% on New ARR in year 1 with 4-6% on renewals; B2B services sit at 5-15% and retail at 1-5%. SDR, AE and CS roles each carry their own quota tied to where they live in the funnel. A Plan/Quota/Comp that's put together well should land an OTE (On-Target Earnings) split roughly 50-60% fixed base against 40-50% variable.

Applications and context

Sales ops teams reach for this in SaaS, B2B services, retail and MEI/SMB shops, along with anyone modeling revenue compensation (RemNet), designing incentives or planning quotas. One thing to keep in mind: Brazilian CLT case law (TST) folds commission into the salary base for the 13th month, vacation and FGTS contributions, which means the real cost runs higher than the headline rate suggests.

FAQ

What is OTE? On-Target Earnings: the total annual pay a rep makes when they hit 100% of quota, counting both base and variable. SaaS usually splits it 50/50 or 60/40.

Tiered vs flat commission? Tiered pay rewards reps who blow past quota and keeps your best people pushing. Flat is easier to explain and easier to forecast.

Does commission count toward 13th salary in Brazil? Yes. Consolidated TST case law (Súmula 340) counts variable pay as part of the salary base for the 13th, vacation and FGTS.