Sales Commission & OTE Calculator
Calculate sales commission: quota attainment, tiered commission with accelerator, total pay and OTE. For salespeople and compensation plans. Free and multilingual.
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Disclaimer: this calculation is for informational purposes only. For important decisions, consult a qualified professional.
How much will you really earn from your sales, between base salary and commission? This sales commission calculator tells you. From the sales closed, the quota, the base commission rate, any accelerator above quota and the base salary, it calculates the quota attainment, the total commission, the total pay and the OTE (on-target earnings). It is the right tool for salespeople who want to predict their paycheck and for those designing fair and motivating compensation plans.
What sales commission is
Commission is the variable part of a salesperson's pay, tied to sales results. Unlike a fixed salary, it directly rewards performance: the more you sell, the more you earn. It is the heart of sales compensation and a powerful motivation tool, because it aligns the salesperson's interest with the company's. Its structure — rate, quota, accelerators — determines the behaviours the plan encourages, which is why it must be designed carefully.
What OTE (on-target earnings) is
OTE (on-target earnings) is how much a salesperson earns reaching exactly 100% of the quota: base salary plus the "on-target" commission. It is the number used to communicate and compare sales roles ("€80,000 OTE"). It is made of a fixed part (base) and a variable part (commission at quota): the ratio between the two, the split, says how much of the pay is "at risk". A good plan defines a competitive and achievable OTE.
How the calculator works
Enter five values: the sales closed, the quota, the base commission rate, any accelerator above quota and the base salary. The calculator determines the quota attainment as a percentage, calculates the tiered commission (base up to quota, accelerator beyond), adds the salary for the total pay and shows the OTE target. Change the values to simulate different performance and plan levels.
The values you need
The sales closed are the revenue you closed in the period. The quota is the assigned sales target. The base commission rate is the percentage you earn on sales up to the quota. The accelerator is the (higher) rate applied to sales above the quota: it is optional, and if you do not enter it the base rate is used. The base salary is the annual fixed part, optional, that adds to the commission.
Quota attainment
The quota attainment is the percentage of the target you hit: sales divided by quota. It is the key metric of sales performance. Below 100% you are under target; at 100% you reach the quota and therefore the OTE; above 100% you enter accelerator territory, where every extra euro of sales yields more. Many plans set thresholds and bonuses right around this percentage, to direct the team's efforts.
Tiered commission and the accelerator
Most plans do not apply a single rate, but tiers: a base rate up to the quota and a higher rate (accelerator) beyond. The idea is to reward those who exceed the target with an increasing marginal gain, pushing to sell beyond the quota. With sales of €120,000, quota €100,000, base 8% and accelerator 12%, you earn €8,000 on the first €100,000 and €2,400 on the €20,000 above quota, for a total of €10,400. The calculator automatically handles the two tiers.
Total pay
The total pay is the sum of the base salary and the commission: what you actually take home in the period. It is the number that matters to the salesperson. Seeing it split into fixed and variable helps understand how much of your paycheck depends on performance and how much is guaranteed. A plan with a high base and low variable is safer but less motivating; one with a low base and high variable greatly rewards top performers but is riskier.
The effective commission rate
The effective rate is the total commission relative to the sales, as a percentage. Because of accelerators, it can differ from the base rate: exceeding the quota, the effective rate rises toward the accelerator's. It is a useful indicator to understand how much, on average, each euro sold translates into commission, and to compare the attractiveness of different plans at equal sales. The higher the effective rate, the more generous the plan for that performance level.
The OTE target
The OTE target is the pay you would get reaching exactly the quota: base salary plus the commission on the quota at the base rate. It is the plan's reference, the promised "on-target earnings". Comparing your actual total pay with the OTE target immediately tells you whether you are above or below expectations: exceeding the OTE means having beaten the quota and triggered the accelerators. It is also the number companies use to define a role's competitiveness.
Commission structures
There are different ways to structure commissions:
| Structure | How it works |
|---|---|
| Flat rate | same percentage on all sales |
| Tiered | increasing rate as sales rise |
| With accelerator | higher rate beyond the quota |
| Gated | commission only above a threshold |
Tiered and accelerator structures are the most common because they motivate exceeding the quota. This calculator models the base-plus-accelerator case, the most common.
The base/variable split
The ratio between the fixed and variable parts of the OTE, the split, varies a lot by role:
| Role | Typical base/variable split |
|---|---|
| Account Executive (closing) | 50/50 |
| SDR / BDR (development) | 60/40 – 70/30 |
| Sales Manager | 60/40 – 70/30 |
| Customer Success | 80/20 – 90/10 |
The more "closing" the role, the more the variable part weighs: those who directly control revenue typically have a 50/50 split. Enter in the calculator the base salary and quota consistent with your split.
Quota and attainment
The relationship between quota reached and commission depends on the plan structure:
| Quota attainment | Effect on commission |
|---|---|
| Below 100% | commission at the base rate, below OTE |
| 100% | OTE reached |
| Above 100% | accelerator: higher marginal gain |
| Below a threshold (gate) | in some plans, no commission |
Knowing these bands helps you understand where it is worth focusing efforts: often exceeding the quota is much more profitable than staying just below.
Accelerators and decelerators
Accelerators increase the rate beyond the quota to reward overperformance; some plans also use decelerators (lower rates) below a certain threshold, to discourage poor results. Accelerators are the most effective tool to push salespeople not to stop at the quota: knowing that every extra sale yields more changes behaviour. This calculator models the accelerator; for decelerators or gates, adapt the parameters to your specific case.
How to design a commission plan
A good plan is simple, fair and aligned with the company's goals. It must define a competitive OTE to attract talent, an achievable but challenging quota (generally 60-70% of the team should hit it), and accelerators that reward top performers without breaking budgets. Avoid making it too complex: if the salesperson does not understand how they earn, the plan does not motivate. Use the calculator to test different sales scenarios and verify that the plan works at all performance levels.
Common mistakes
- Confusing the total pay with the commission alone.
- Ignoring the accelerator, underestimating the gain above quota.
- Setting unreachable quotas that demotivate instead of pushing.
- Making the plan too complex to understand.
- Not comparing the actual pay with the OTE target.
How to use the calculator
Enter sales and quota to see the attainment, then the base rate and the accelerator for the commission, and the base salary for the total pay and the OTE. Try different sales levels: how much do you earn at 90% of the quota? At 130%? By comparing the scenarios you understand how the plan rewards performance and, if you design a plan, whether the incentives are well calibrated at every attainment level.
Practical example
You closed sales of €120,000, with a quota of €100,000, a base rate of 8%, an accelerator of 12% and a base salary of €40,000. The result: a quota attainment of 120%, a total commission of €10,400 (€8,000 up to quota + €2,400 accelerated), a total pay of €50,400, an effective rate of 8.67% and an OTE target of €48,000, with the verdict "above quota: accelerated commission". You exceeded the OTE thanks to the accelerator. Enter your numbers for your real situation.
Frequently asked questions
What is sales commission?
It is the variable part of a salesperson's pay, tied to sales results. It directly rewards performance: the more you sell, the more you earn. It adds to the base salary to form the total pay.
What is OTE?
OTE (on-target earnings) is how much you earn reaching exactly 100% of the quota: base salary plus the on-target commission. It is the number used to communicate and compare sales roles.
How is tiered commission calculated?
You apply the base rate to sales up to the quota and the accelerator (higher rate) to sales above the quota. With base 8% and accelerator 12% on €120,000 (quota €100,000), you earn 8,000 + 2,400 = €10,400.
What is quota attainment?
It is the percentage of target hit: sales divided by quota. Below 100% you are under target, at 100% you reach the OTE, above 100% you trigger the accelerators with a higher marginal gain.
What is an accelerator?
It is a higher commission rate applied to sales above the quota, to reward those who exceed the target. It pushes salespeople not to stop at the quota, because every extra sale yields more.
What is the difference between commission and total pay?
The commission is only the variable part; the total pay also adds the base salary. Confusing the two leads to underestimating or overestimating what you actually earn in a period.
What is the base/variable split?
It is the ratio between the fixed part (base salary) and the variable part (commission at quota) of the OTE. Closing roles typically have a 50/50 split; support roles have a larger fixed part.
What is the effective commission rate?
It is the total commission divided by the sales, as a percentage. By exceeding the quota and triggering the accelerators, it rises above the base rate. It measures how much, on average, each euro sold translates into commission.
Is a higher quota better for the company?
Not always: a quota too high demotivates if it is unreachable. Good quotas are challenging but realistic, generally hit by 60-70% of the team. The calculator helps test the plan's consistency.
What are decelerators and gates?
Decelerators reduce the rate below a certain performance; gates (thresholds) pay no commission until a minimum is exceeded. They serve to direct behaviours; this calculator models base and accelerator, to adapt for the other cases.
Does the calculator account for taxes?
No, it calculates gross amounts. Commissions and salary are taxed as employment income: apply your country's taxation to get the net pay.
Can I use it both as a salesperson and a manager?
Yes. As a salesperson you predict your paycheck at different sales levels; as a manager you test whether the commission plan is well calibrated and motivating at every attainment level.
Does it work for any currency?
Yes, the calculation is universal and uses the values in your currency. Rates and attainment are percentages independent of currency; only the currency symbol of the amounts changes.
Updated July 2026
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