Discover the true cost of commissions Total Commission
Rate Calculator

Uncover the full cost of commissions per deal across roles
with our free Total Commission Rate Calculator. Designed for
Finance leaders to optimize comp plans and protect margin.

As your sales team scales and multiple roles touch a single deal, your commission payouts become more complex... and expensive.

Our Total Commission Rate Calculator helps Finance leaders get a clear, blended view of commission costs per dollar of new revenue, broken out by role.

Model

Model expected payout costs for reps, managers, SDRs, and overlay roles.

Visualize

Visualize your organization's blended total commission rate as a percentage of new business.

Compare

Compare your rate to industry benchmarks and identify if you're overspending.

Our Recommendation

Keep your total commission rate below 30% of revenue per deal to protect gross margin and preserve cash flow.

How It Works

Whether you’re designing comp plans or doing financial planning, this tool offers a simple yet powerful way to keep your commission spend in check.

  • Input team counts and variables like quota, OTE, and projected attainment for each role.
  • See calculated payout amounts and their contribution to the total commission rate.
  • View results as a stacked bar chart and a thermometer visual to benchmark performance health.
  • Quickly adjust variables to model “what if” scenarios and optimize your cost structure.

Sales Reps

$0
Total Quota
$0
Total Variable
$0
Projected Revenue
$0
Projected Variable

Sales Managers

$0
Total Variable
$0
Projected Variable

Sales Upper Management

$0
Total Variable
$0
Projected Variable

SDRs

$0
Total Variable
$0
Projected Variable

Other Variable Earners

$0
Total Variable
$0
Projected Variable

Total Commission Rate

Commission Health:
Role Cost Rate
Sales Reps
 $0
0%
Sales Managers
 $128,000
0%
Sales Upper Management
 $120,000
0%
SDRs
 $192,000
0%
Other Variable Earners
 $240,000
0%
Totals $0 0%

Why Finance Teams Use This Tool

1
Ryan Milligan

 

VP of RevOps, QuotaPath

“It’s a quick way to calculate what percentage of revenue you’re giving away in commissions—across all earners. Most leaders don’t realize their true commission rate is over 30%, which has serious margin implications.”

Frequently Asked Questions

What is a “Total Commission Rate”?

The Total Commission Rate is the blended percentage of revenue paid in commissions across all team members who earn on a deal—such as AEs, SDRs, managers, and overlay roles like sales engineers. It gives you a full view of your commission spend, not just rep payouts.

What’s a healthy commission rate benchmark?

For most B2B SaaS companies, a total commission rate of under 30% is recommended. Crossing that line can eat into gross margin and strain your path to profitability.

Can I include roles outside of Sales, like Marketing or Solutions Engineering?

Yes. The calculator includes an “Other Variable Earners” category so you can account for all incentive-compensated roles tied to a deal.

Is this calculator customizable for different attainment scenarios?

Absolutely. You can adjust projected attainment rates across roles to reflect different scenarios, helping you better understand the impact of under- or over-performance on total commission costs.

Do I need a QuotaPath account to use it?

Nope. The calculator is completely free and available without a login. However, if you want to integrate this level of visibility into your compensation processes, we recommend trying QuotaPath’s platform for deeper automation and reporting.