Sales Commission Calculator

Enter total sales and the commission rate. Add a base salary if there is one to see total earnings.

Bookkeeping Formula Reference

Every formula used by these calculators. They match the FNSACC323 Perform financial calculations unit.

Tax
GST: Add
Price inc GST = Price ex GST × 1.1
e.g. $100 × 1.1 = $110
GST: Remove
Price ex GST = Price inc GST ÷ 1.1
e.g. $110 ÷ 1.1 = $100
GST: Find Amount
GST = Price inc GST ÷ 11
e.g. $110 ÷ 11 = $10
Business
Markup
Selling Price = Cost + (Markup% × Cost)
e.g. Cost $50, Markup 20% → SP = $50 + ($50 × 0.20) = $60
Profit Margin
Selling Price = Cost ÷ (1 − Margin%)
e.g. Cost $50, Margin 20% → SP = $50 ÷ 0.80 = $62.50
Sales Commission
Commission = Rate% × Total Sales
e.g. $10,000 sales at 5% → Commission = $500
Simple Interest
Simple Interest
Interest = Principal × Rate × Number of Periods (T)
I = P × R × T
e.g. $300 at 2% for 1 year → I = $300 × 0.02 × 1 = $6
Total Value / Total Repayable
Total = Principal + Interest
e.g. $300 + $6 = $306
Compound Interest
Future Value (Compound)
FV = PV × (1 + i/n)^(n×t)
PV = present value, i = annual rate, n = periods/year, t = years
Present Value
PV = FV × (1 + i/n)^(−n×t)
How much to invest now to reach a future target
Loan Repayment
Repayment = P × [rp × (1 + rp)^N] ÷ [(1 + rp)^N − 1]
rp = rate per period, N = total periods
Depreciation
Straight Line: No Residual
Depreciation = Total Cost ÷ Effective Life
e.g. $11,000 ÷ 5 yrs = $2,200 per year (same each year)
Straight Line: With Residual
Depreciation = (Total Cost − Residual) ÷ Effective Life
e.g. ($11,000 − $1,000) ÷ 5 = $2,000 per year
Diminishing Value: Rate
Rate % = 200% ÷ Effective Life
e.g. 200 ÷ 12 yrs = 16.67%
Diminishing Value: Depreciation
Depreciation = Rate % × Carrying Amount
Applied to the reducing book value each year, bigger early, smaller later

GST Calculator (Australia)

GST Rate: 10%
$

Results

Enter your details to see the result

Markup / Profit Margin

Markup calculates profit as a percentage of the cost price. Profit Margin calculates profit as a percentage of the selling price.

SP = Cost + (Markup% × Cost)
$
%

Results

Enter your details to see the result

Sales Commission

Commission = Rate% × Total Sales
$
%
$

Results

Enter your details to see the result

Break-Even Point

Units = Fixed Costs ÷ (Price − Variable Cost)

Fixed Costs stay the same no matter how much you sell (e.g. rent, insurance). Variable Cost is what it costs to make or deliver one single unit (materials, packaging, per-item shipping) — it goes up and down with sales, unlike fixed costs. Selling Price is what you charge per unit.

$
$
$

Results

Enter your details to see the result

Simple Interest

I = P × R × T
$
%

Results

Enter your details to see the result

Compound Interest

FV = PV × (1 + I)ᴺ
$
%
$

Results

Enter your details to see the result

Present Value

PV = FV × (1 + I)⁻ᴺ
$
%

Results

Enter your details to see the result

Depreciation

Depn = (Cost − Residual) ÷ Life
$
$

Results

Enter your details to see the result

Time to Decimal

Decimal Hours = Hours + (Minutes ÷ 60)
hrs
min

Results

Enter your details to see the result

Pay Calculator (Before Tax)

Gross Pay = (Rate × Ord. Hours) + (Rate × OT × OT Hours)
$

Results

Enter your details to see the result

GST / VAT / Sales Tax Calculator

Rate: 15%
%
$

Results

Enter your details to see the result

How sales commission is calculated

Commission = Commission Rate% × Total Sales

Example. A sales rep sells $10,000 in a month on a 5% commission. Commission = $10,000 × 0.05 = $500.

With a $3,000 base salary, total earnings for the month are $3,500.

Things to check before you calculate

Commission is taxed like wages, so it goes through payroll with the rest of the pay.

Frequently asked questions

How do I calculate commission on a sale?

Multiply the sale amount by the commission rate as a decimal. A 5% commission on $2,000 is $2,000 × 0.05 = $100.

Is commission calculated on the price with or without GST?

It depends on the agreement, but it is usually calculated on the GST-exclusive amount, since the GST is collected for the ATO and is not income for the business.

How do I work out a commission rate from the amounts?

Divide the commission paid by the total sales and multiply by 100. $600 commission on $12,000 of sales is a 5% rate.

More bookkeeping calculators