How to Create & Update Commissions

Follow the steps below to create and update your sales reps' commission rates. Steps 1 and 2 are required; all others are optional.

On this page

Step 1 - Create base rates

Step 2 - Apply rates to reps

Step 3 - Choose to include or exclude services

Step 4 - Set a Maximum Commission (Threshold)

Step 5- Create a Margin Table

Step 6 - Add Client Rates

Step 7 - Set annual sales goals

Manually add a commission

Change commission rates

Regenerate commissions

Step 1 - Create base rates

To create your team's base rates:

1. Click your Profile icon (top right corner of commonsku) > Settings > Company Settings
2. Click the Commissions section
3. Click the Commission Rates tab in the pop-up window
4. Click + Add new 
5. Type the rate's name in the "Label" field 
6. In the "Base Rate" field, type the percentage as a whole number
7. Click the drop-down in the "Type" field and select if the rate is based on the Margin (profit) or Sales (dollar value sold)
8. Click Add
9. Follow steps 5 - 8 to add more rates (optional)
10. Click Done

To delete your team's base rates:

1. Click your Profile icon (top right corner of commonsku) > Settings > Company Settings
2. Click the Commissions section
3. Click the Commission Rates tab in the pop-up window
4. Click the icon next to the base rate you wish to remove
5. In the pop-up, select Delete

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Step 2 - Apply rates to reps

Once you've created your team's base rates, you'll need to assign rates to the individual reps. You can set rates based on if a rep is a project's client rep, order rep, or client and order rep.

To assign the commission rate:

1. Click your Profile icon (top right corner of commonsku) > Settings > Company Settings
2. Click the Commissions section
3. Click the People tab in the pop-up window
4. Use the drop-downs to select your rep's commission rates under the "Client Rep Commission," "Order Rep Commission," and/or "Order+Client Rep Commission" columns
5. Click Done

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Step 3 - Choose to include or exclude services

By default, margin/commission calculations exclude fulfillment, freight, and shipping charges. 

To include fulfillment, freight, and shipping in your calculations:

1. Click your Profile icon (top right corner of commonsku) > Settings > Company Settings
2. Click the Commissions section
3. Click the Excludes tab in the pop-up window
4. Select "Included" or "Excluded" for Freight, Fulfillment, and Shipping
5. Click Done

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Step 4 - Set a Maximum Commission (Threshold)

The Maximum Commission (Threshold) limits the amount of commission payable on a project. For example, if a project's client and order rep were each due 30% commission, but the threshold was 50%, the rep's rates would drop to 25% each.

To set a maximum threshold:

1. Click your Profile icon (top right corner of commonsku) > Settings > Company Settings
2. Click the Commissions section
3. Click the Maximum tab in the pop-up window
4. Enter a value in the "% of margin "box
5. Click Done

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Step 5 - Create a Margin Table

The Margin Table uses a multiplier to increase or decrease a rep's base rate depending on a project's final margin.

To create a margin range:

1. Click your Profile icon (top right corner of commonsku) > Settings > Company Settings
2. Click the Commissions section
3. Click the Margin Table tab in the pop-up window
4. Click + Add New
5. In the "Multiplier" field, enter the multiplier for the lowest range
6. Click + Add New again
7. In the "Margin Minimum" field, enter the minimum margin amount required for the second margin range (this will become the maximum amount for the previous range)
8. In the "Multiplier" field, enter the multiplier for the second margin range
9. Click Add
10. Continue to add margin ranges as needed (optional)
11. Click Done

To delete a margin range:

1. Click the icon next to the margin range you want to delete
2. In the pop-up window, select Delete
3. Click Done

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Step 6 - Add Client Rates

Client Rates use a multiplier to increase or decrease a rep's base rate depending on the client.

To create a client Rate:

1. Click your Profile icon (top right corner of commonsku) > Settings > Company Settings
2. Click the Commissions section
3. Click the Client Rates tab in the pop-up window
4. Click + Add New
5. Type the rate's name in the "Label" field 
6. Enter a multiplier in the "Multiplier" field
7. Click Add
8. Click Done

To assign a client rate:

1. Click your Profile icon (top right corner of commonsku) > Settings > Company Settings
2. Click the Commissions section
3. Click the Client Rates tab in the pop-up window
4. Click Assign Client Rates
5. Type a client's name in the "Search for a client" field
6. Click Search
7. Locate the client you'd like to assign the rate to, then select the rate from the drop-down menu beside their name
8. Click Done

You can also assign client rates through the client's page or the Clients tab.

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Step 7 - Set annual sales goals

The Sales Goal table uses a multiplier to increase or decrease a rep's base rate depending on how they perform against their annual sales goal.

To create a percentage attainment range:

1. Click your Profile icon (top right corner of commonsku) > Settings > Company Settings
2. Click the Commissions section
3. Click the Sales Goal tab in the pop-up window
4. Click + Add New
5. In the "Multiplier" field, enter the multiplier for the lowest range
6. Click + Add New again
7. In the "% of Goal" field, enter the minimum attainment amount required for the second range (this will become the maximum amount for the previous range)
8. In the "Multiplier" field, enter the multiplier for the second range
9. Click Add
10. Continue to add percentage attainment ranges as needed (optional)
11. Click Done

To assign sales goals:

1. Click your Profile icon (top right corner of commonsku) > Settings > Company Settings
2. Click the Commissions section
3. Click the Sales Goal tab in the pop-up window
4. Click Assign Sales Goals
5. In the pop-up window, enter the annual sales goal amount beside each rep
6. Click Done
7. Click Done again

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Manually add a commission

To manually add a commission to a project:

1. In the project > commissions, click Actions
2. Select Add Commission
3. Click the drop-downs to choose the sales pre, type (order rep or client rep), source (margin or subtotal), rate or amount, notes (optional)
4. Click Add

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Change commission rates

Changes will only affect commissions for future projects; all current commissions will remain the same. Follow the directions below to update commissions on an existing project.

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Regenerate commissions

To update the commission for an existing project:

1. In the project > invoice, hover over and click to Edit any item
2. Change the item's quantity to + or - 1
3. Click Close
4. Hover over and click to Edit the same item
5. Change the item's quantity back to the original value
6. Click Close

That will prompt the system to regenerate the commission rates for the project's client/order rep.

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