Sales Commission Models

Complete guide to sales commission models & structures. Boost revenue with proven incentive plans. Find the right commission system for your sales team.

Framework visualizationn

Accelerator Model


Structure

Commission Only

Logic

Accelerated

Payout Timing

Periodic

Revenue Basis

Revenue-Based

Target Role

AEs / Closers

Sales Motion

Enterprise
Framework visualizationn

Account Management Commission


Structure

Multi-Component

Logic

Account-Based

Payout Timing

Periodic

Revenue Basis

Revenue-Based

Target Role

Account Managers

Sales Motion

Relationship
Framework visualizationn

Anniversary Commission


Structure

Multi-Component

Logic

Time-Based

Payout Timing

Periodic

Revenue Basis

Renewal-Based

Target Role

Account Managers

Sales Motion

Relationship
Framework visualizationn

Blended Commission


Structure

Multi-Component

Logic

Weighted Average

Payout Timing

Periodic

Revenue Basis

Multi-Factor

Target Role

AEs / Closers

Sales Motion

Solution Selling
Framework visualizationn

Bonus-Based Commission


Structure

Base + Bonus

Logic

Threshold

Payout Timing

Periodic

Revenue Basis

Goal-Based

Target Role

All Sales Roles

Sales Motion

Mid-Market
Framework visualizationn

Capped Commission


Structure

Commission Only

Logic

Capped

Payout Timing

Immediate

Revenue Basis

Revenue-Based

Target Role

AEs / Closers

Sales Motion

High-Volume
Framework visualizationn

Customer Acquisition Commission


Structure

Fixed Amount

Logic

Per Customer

Payout Timing

Immediate

Revenue Basis

Customer-Based

Target Role

SDRs / BDRs

Sales Motion

Prospecting
Framework visualizationn

Customer Satisfaction Commission


Structure

Variable Rate

Logic

Multiplier-Based

Payout Timing

Periodic

Revenue Basis

Satisfaction-Adjusted

Target Role

Account Managers

Sales Motion

Consultative
Framework visualizationn

Customer Success Commission


Structure

Multi-Component

Logic

Milestone-Based

Payout Timing

Staged/Deferred

Revenue Basis

Customer Lifecycle Value

Target Role

Customer Success Managers

Sales Motion

Relationship
Framework visualizationn

Deferred Commission


Structure

Commission Only

Logic

Staged

Payout Timing

Deferred/Staged

Revenue Basis

Revenue-Based

Target Role

Complex Sales

Sales Motion

Enterprise
Framework visualizationn

Discretionary Commission


Structure

Variable

Logic

Subjective

Payout Timing

Periodic

Revenue Basis

Performance

Target Role

All Sales Roles

Sales Motion

Varied
Framework visualizationn

Draw Against Commission


Structure

Draw-Based

Logic

Flat Rate

Payout Timing

Deferred/Staged

Revenue Basis

Revenue-Based

Target Role

New Sales Hires

Sales Motion

Mid-Market
Framework visualizationn

Equity/Stock Commission


Structure

Base + Equity

Logic

Milestone

Payout Timing

Deferred/Staged

Revenue Basis

Goal-Based

Target Role

Enterprise AEs

Sales Motion

Enterprise
Framework visualizationn

Flat Fee per Sale


Structure

Fixed Amount

Logic

Flat Rate

Payout Timing

Immediate

Revenue Basis

Unit-Based

Target Role

Inside Sales

Sales Motion

Transactional
Framework visualizationn

Gross Margin Commission


Structure

Variable Rate

Logic

Margin-Based

Payout Timing

Immediate

Revenue Basis

Profit-Based

Target Role

AEs / Closers

Sales Motion

Solution Selling
Framework visualizationn

Hybrid Commission Model


Structure

Multi-Component

Logic

Custom

Payout Timing

Multi-Stage

Revenue Basis

Multi-Factor

Target Role

Complex Sales

Sales Motion

Enterprise
Framework visualizationn

MBO-Based Commission (Management by Objectives)


Structure

Goal-Based

Logic

Objective Count

Payout Timing

Periodic

Revenue Basis

Objective-Based

Target Role

Strategic Roles

Sales Motion

Enterprise
Framework visualizationn

Milestone Commission


Structure

Staged

Logic

Milestone-Based

Payout Timing

Deferred/Staged

Revenue Basis

Project-Based

Target Role

Solution Sales

Sales Motion

Enterprise
Framework visualizationn

Multi-Product Commission


Structure

Variable Rate

Logic

Product Mix

Payout Timing

Immediate

Revenue Basis

Revenue-Based

Target Role

Solution Sales

Sales Motion

Cross-Selling
Framework visualizationn

Multiplier Model


Structure

Variable Rate

Logic

Multi-Factor

Payout Timing

Periodic

Revenue Basis

Revenue-Based

Target Role

AEs / Closers

Sales Motion

Solution Selling
Framework visualizationn

New Business Commission


Structure

Variable Rate

Logic

Customer Type

Payout Timing

Immediate

Revenue Basis

Revenue-Based

Target Role

New Business AEs

Sales Motion

Hunting
Framework visualizationn

Non-Monetary Rewards


Structure

Prize-Based

Logic

Contest

Payout Timing

Periodic

Revenue Basis

Recognition

Target Role

All Sales Roles

Sales Motion

Varied
Framework visualizationn

Non-Retroactive Commission


Structure

Commission Only

Logic

Non-Retroactive

Payout Timing

Periodic

Revenue Basis

Revenue-Based

Target Role

AEs / Closers

Sales Motion

Mid-Market
Framework visualizationn

Performance Override Commission


Structure

Multi-Component

Logic

Performance-Based

Payout Timing

Periodic

Revenue Basis

Performance

Target Role

Experienced AEs

Sales Motion

Enterprise
Framework visualizationn

Performance-Based Commission


Structure

Variable Rate

Logic

Performance-Based

Payout Timing

Periodic

Revenue Basis

Performance

Target Role

Customer-Facing

Sales Motion

Relationship
Framework visualizationn

Pooled Commission


Structure

Pool-Based

Logic

Contribution Share

Payout Timing

Periodic

Revenue Basis

Team-Based

Target Role

Sales Teams

Sales Motion

Enterprise
Framework visualizationn

Product-Specific Commission


Structure

Variable Rate

Logic

Product-Based

Payout Timing

Immediate

Revenue Basis

Revenue-Based

Target Role

Product Specialists

Sales Motion

Solution Selling
Framework visualizationn

Profit-Based Commission


Structure

Commission Only

Logic

Flat Rate

Payout Timing

Immediate

Revenue Basis

Profit-Based

Target Role

AEs / Closers

Sales Motion

Solution Selling
Framework visualizationn

Quota-Based Commission


Structure

Threshold-Based

Logic

Quota Trigger

Payout Timing

Delayed

Revenue Basis

Revenue-Based

Target Role

AEs / Closers

Sales Motion

Enterprise
Framework visualizationn

Ramp Commission Model


Structure

Variable Rate

Logic

Tenure-Based

Payout Timing

Immediate

Revenue Basis

Revenue-Based

Target Role

New Sales Hires

Sales Motion

Varied
Framework visualizationn

Recovery Commission


Structure

Commission Only

Logic

Recovery-Based

Payout Timing

Immediate

Revenue Basis

Revenue-Based

Target Role

Account Recovery

Sales Motion

Relationship
Framework visualizationn

Renewal Commission


Structure

Commission Only

Logic

Renewal-Based

Payout Timing

Immediate

Revenue Basis

Renewal-Based

Target Role

Account Managers

Sales Motion

Relationship
Framework visualizationn

Residual/Recurring Commission


Structure

Commission Only

Logic

Flat Rate

Payout Timing

Recurring

Revenue Basis

Revenue-Based

Target Role

Account Managers

Sales Motion

Subscription
Framework visualizationn

Retention-Based Commission


Structure

Commission Only

Logic

Retention-Based

Payout Timing

Periodic

Revenue Basis

Renewal-Based

Target Role

Customer Success

Sales Motion

Relationship
Framework visualizationn

Retroactive Commission


Structure

Commission Only

Logic

Retroactive

Payout Timing

Periodic

Revenue Basis

Revenue-Based

Target Role

AEs / Closers

Sales Motion

Mid-Market
Framework visualizationn

Revenue Share Commission


Structure

Revenue Share

Logic

Shared Pool

Payout Timing

Periodic

Revenue Basis

Revenue-Based

Target Role

Sales Leadership

Sales Motion

Enterprise
Framework visualizationn

Revenue vs. Profit Commission


Structure

Dual Option

Logic

Maximum

Payout Timing

Deferred/Staged

Revenue Basis

Variable

Target Role

AEs / Closers

Sales Motion

Solution Selling
Framework visualizationn

Sliding Scale Commission


Structure

Variable Rate

Logic

Deal Size

Payout Timing

Immediate

Revenue Basis

Revenue-Based

Target Role

AEs / Closers

Sales Motion

Mid-Market
Framework visualizationn

SPIFF Commission


Structure

Bonus

Logic

Product-Based

Payout Timing

Immediate

Revenue Basis

Unit-Based

Target Role

All Sales Roles

Sales Motion

Transactional
Framework visualizationn

Split Commission


Structure

Split Rate

Logic

Percentage Split

Payout Timing

Immediate

Revenue Basis

Revenue-Based

Target Role

Mixed Roles

Sales Motion

Enterprise
Framework visualizationn

Straight Commission


Structure

Commission Only

Logic

Flat Rate

Payout Timing

Immediate

Revenue Basis

Revenue-Based

Target Role

AEs / Closers

Sales Motion

Transactional
Framework visualizationn

Team-Based Commission


Structure

Commission Only

Logic

Split

Payout Timing

Periodic

Revenue Basis

Revenue-Based

Target Role

Sales Teams

Sales Motion

Enterprise
Framework visualizationn

Threshold Commission


Structure

Threshold-Based

Logic

Minimum Required

Payout Timing

Periodic

Revenue Basis

Revenue-Based

Target Role

AEs / Closers

Sales Motion

Mid-Market
Framework visualizationn

Tiered/Graduated Commission


Structure

Commission Only

Logic

Tiered

Payout Timing

Immediate

Revenue Basis

Revenue-Based

Target Role

AEs / Closers

Sales Motion

Enterprise
Framework visualizationn

Upsell/Cross-Sell Commission


Structure

Commission Only

Logic

Account Growth

Payout Timing

Immediate

Revenue Basis

Revenue-Based

Target Role

Account Managers

Sales Motion

Relationship
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