Commission calculator

Work out commission, including a higher rate for sales above a target.

Extra commission on sales above the target.

Total pay

R 7 500

Commission
R 7 500
Extra above target
R 0
Share of sales paid out
5.00%

Estimates only. Not financial advice.

How the commission calculator works

Last updated 10 November 2026

Commission rewards sales. This calculator handles a simple rate, optional base pay and a higher rate above a target.

How it works

  • Commission = sales × rate.
  • Extra = (sales − target) × extra rate, only if sales are above the target.
  • Total pay = base + commission + extra.

Worked example

With the starting figures:

  1. Commission is R 7 500.
  2. Total pay is R 7 500.

How commission is worked out

Commission rewards sales. The simplest form is a percentage of sales. Many jobs add a higher rate once sales pass a target, and some pay a base salary on top. This calculator handles all three parts and shows the total.

The three parts

The total is base pay plus commission plus extra commission.

  • Base pay: a fixed amount for the period, which can be zero.
  • Commission: sales multiplied by the rate.
  • Extra commission: only the sales above the target are multiplied by the extra rate.

An example in words

Suppose the rate is a small percentage of sales, with a target and a higher rate above it. Sales up to the target earn the normal rate. Only the amount above the target earns the higher rate. The calculator shows each part so you can see where the total comes from.

Check the definition of sales

Contracts define sales differently. Some count the price including VAT, some exclude it, and some subtract returns and cancellations. Some pay commission when the sale is made and others when the customer pays. Read your contract or ask your employer before you rely on the figures.

Tax and take-home pay

Commission is part of your income, and your employer takes tax from it like any other pay. The calculator gives the gross amount. To see what reaches your account, try the take-home pay calculator. If you earn commission as a freelancer, see the freelance pricing calculator.

Planning with the numbers

Try different sales amounts to see how pay changes as you pass the target. Because only the sales above the target earn the higher rate, the jump is gradual and not sudden. This helps when you plan a month or when you compare two commission plans offered by different employers.

Things to watch

  • Check how your contract defines sales, for example before or after VAT and returns.

See the take-home pay calculator for tax. Read the full disclaimer.

Questions people ask

Is commission taxed?

Yes. It is part of your remuneration. Use the take-home pay calculator to see the tax and what you keep.

Estimates only. Not financial advice. Read the full disclaimer.