Free online commission calculator. Easily find your commission amount from a sales price or determine the percentage rate. Perfect for real estate, retail, and sales pros.
This calculation is based on widely-accepted formulas for educational purposes only, and it is not a recommendation for how to handle your finances. Consult with a financial professional before making financial decisions.
How to Calculate Sales Commission
Understanding how your payout is calculated is essential for financial planning. Whether you are a freelance contractor, a real estate agent, or a retail manager, our tool simplifies the math so you can focus on closing deals.
The Commission Amount Formula
If you know your sales price and your agreed-upon percentage rate, use this formula:
The Commission Percentage Formula
If you know the total dollar amount you were paid and want to find out what percentage of the sale that represents:
Common Commission Scenarios
| Industry | Typical Commission Structure |
| Real Estate | Often 5% to 6% of the total home sale price. |
| SaaS / Tech Sales | Can range from 10% to 20% of the first-year contract value. |
| Retail | Usually a smaller percentage (1% to 3%) on top of a base salary. |
| Freelance | Often 10% to 15% for referral fees or agency markups. |
Frequently Asked Questions (FAQ)
To find the total dollar amount of a commission, multiply the sale price by the commission rate (expressed as a decimal). The formula is:
For example, a 5% commission on a $200,000 sale is $10,000.
If you know the dollar amount paid and the total sale price, you can find the percentage rate by dividing the commission by the price and multiplying by 100:
Gross Commission is the total amount earned before any deductions. Net Commission is the “take-home” pay after expenses such as taxes, broker splits, marketing fees, or administrative costs have been subtracted.
Commission rates vary significantly by industry:
- Real Estate: Often 5% – 6%.
- SaaS/Software: Typically 10% – 20%.
- Recruiting: Usually 15% – 25% of the first-year salary.
5. Financial Disclaimer
Note: This calculator is for educational and illustrative purposes. Commission structures can be complex and may include draws, caps, or rolling quotas. Always refer to your specific employment contract or independent contractor agreement for final figures.