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Set team commissions
Set team commissions
In this guide you’ll learn how to set up and customize commission for your team, based on services, product sales, and team member roles.
How commissions work
Commissions are earnings paid to team members based on sales or services they provide. Your business can customize the commission settings per team member, across services, products, memberships, and gift cards.
You are able to set up commission structures tailored to your business needs - whether it’s a fixed rate or a tiered system based on sales.
Once set up, commissions are tracked automatically will transfer directly into your teams Pay runs.
The commissions feature is included in the Team Plan subscription. Learn how to upgrade to Team Plan.
Setting up commissions for a team member
- From the main menu on the left of your screen, go to Team.
- In the Team members tab on the left menu panel, you can view your list of team members.
- Next to a team member, click Actions and select Edit from the panel to open their profile.
- In the left menu panel, select Commissions to view the team member's commission settings.
- From the Commissions view, use the toggle to enable a commission type, such as Services, Products, Memberships, or Gift cards.
- Under each commission type, go to Default Commission Type and use the dropdown menu to choose one of the following:
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Fixed rate:
A fixed amount of commission that can be earned on all items. For this option, enter a Default rate. This can be a percentage of the price or currency value. -
Tiered:
A tiered commission structure that adjusts rates according to the accumulated sales. For this option, choose a Sales period and enter tier ranges with the percentage that can be earned.
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- You can customize commission per service by clicking Edit next to commissions by service. From the Set commission per service view, you can and applying the custom rates per service.
- Click the Apply button in the top right to save the service commissions.
- From the Edit team member page, click the Save button to apply the commission settings for this team member.
Once commissions are enabled for a team member, any sales made under these settings will be automatically calculated as their commission.
Enable commission deductions for team members
When updating your team member's commission settings, you can choose what will be deducted from the item’s sale price before calculating the commission.
Set up default commission calculation settings for your workspace
- From the main menu on the left of your screen, go to Settings.
- Under the Settings tab at the top, click on Team.
- In the left menu panel, select Commissions to view your workspace default commission settings.
- From the Commissions view, use the toggle to apply the relevant default commission settings:
- Deduct discounts:
Deduct discounts from the sale price before calculating the commission. - Deduct taxes:
Deduct taxes from the sale price before calculating the commission. - Deduct service cost:
Deduct the cost associated with delivering the service from the sale price before calculating the commission. - Deduct product cost:
Deduct product cost from sale price prior to calculating commission. - Earn commission on services paid for with a membership:
Commission is earned on services paid for with a membership. - Earn commissions on fully paid invoices:
Commission is only applied on invoices once they are marked as fully paid.
- Deduct discounts:
Once you've set your default commission calculation settings, they will be applied under calculations for each team member in their Commission settings. You can customize these calculations for each individual team member by toggling Custom.
Customized commission calculations for a team member
- From the main menu on the left of your screen, go to Team.
- In the Team members tab on the left menu panel, you can view your list of team members.
- Locate the team member you want to edit, and click Actions and then Edit.
- In the left menu panel under the Pay, select Commissions and locate the relevant commission type that you want to customize.
- Under Calculations, select Custom settings and tick the checkbox next to the deduction settings that you want to apply for this team member:
- Deduct discounts:
Deduct discounts from the sale price before calculating the commission. - Deduct taxes:
Deduct taxes from the sale price before calculating the commission. - Deduct service cost:
Deduct service cost from the sale price before calculating the commission. - Earn commission on services paid for with a membership:
Commission is earned on services paid for with a membership. - Earn commissions on fully paid invoices:
Commission is only applied on invoices once they are marked as fully paid.
- Deduct discounts:
- Click the Save button in the top right to apply the commission settings.
Once you have created your commission settings, any sales made under these settings will be subject to the deductions you've applied.
FAQs
Commissions earned for appointments with multiple team members are divided based on the value of the services each team member provides.
For example, in a $100 appointment where Team Member A performed a $60 service, and Team Member B performed a $40 service, Team Member A will receive 60% of the commission, and Team Member B will receive 40% of the commission.