How do I handle a commission-only employee?

Let's say you have employees who receive a 5% commission on all sales, but no other compensation.

On the Assumptions/Costs/Commissions page, you should enter 5% for all products in all markets. Offtoa does not care which of your employees receives these commissions; from a planning perspective, all we care about is that 5% of the revenue will be “spent” by your company for commissions.

Employee tax and benefits will be automatically added to these commissions by Offtoa. You can set the rates for taxes and benefits on the Payroll tab of the Assumptions/Personnel page. If the employees receive no salary except for the commission, you should still enter them as employees on the Employees tab of the Assumptions/Personnel page - with a zero salary. That's because some of Offtoa's calculations use the “number of employees” as part of those calculations.

Related Questions:

How do I add or change employees?

How do I change the number of employees?

How do I change the salary of an employee?


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