SumProduct calculation

lylebrous

New Member
Joined
Mar 3, 2019
Messages
15
So I have a convoluted calculation that I need assistance with.

I am trying to calculate commission for hair stylists and additional commission for products that they sell.

I have no problem with the calculation that I am using for calculating their commission. Here is an example of what I am using.
=SUMPRODUCT((C13>{0,600,1000,1500,2000,2500,3000})*(C13-{0,600,1000,1500,2000,2500,3000})*{0.38,0.06,0.03,0.03,0.05,0.03,0.02})

This will give them a tiered commission. Again, this works just fine.

Now... I am trying to create a second calculation that pays them a tiered commission based on products that they sell. This would be a tiered commission again, but only if they sell a certain percentage of the services they do.

The employees earn a tiered commission once they sell at least 10% of their total services.
They get 10% of all product sales that are 10-14.9% of their services.
They get 15% of all product sales that are 15-19.9% of their services.
They get 20% of all product sales that are 20% or higher of their services.

Here is the example:
My stylist does $1000 a week in services and $90 in product sales. They would not get any commission for product sales as they are less than 10%.
My stylist does $1000 a week in services and $175 in product sales. They would get 10% of the first $149 which would be $14.90. They would get 15 percent of the $26 which would be $3.90. So their total commission would be $18.80.
My stylist does $1000 a week in services and $275 in product sales. They would get 10% of the first $149 which would be $14.90. They would get 15 percent of the $50 which would be $7.50. They would get 20% of $76 which would be $15.20. So their total commission would be $37.60.

That being said, how can I do this? I put the total of services in one cell and the total of product sales in another cell. I need to use the above example and make a tiered commission.

Thanks in advance,
Lyle
 

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Re: Need help with Sum Product calculation


Excel 2010
ABCDEFG
1ServicesProductCommissionBracketRateRate Diff
21,000.00275.00$37.60010.0%10.0%
3$37.6014915.0%5.0%
419920.0%5.0%
51,000
6
1b
Cell Formulas
RangeFormula
G2=F2-N(F1)
D2=(B2/A2>0.1)*SUMPRODUCT(--(B2>E2:E4),B2-E2:E4,G2:G4)
D3=(B2/A2>0.1)*SUMPRODUCT(--(B2>{0;149;199}),B2-{0;149;199},{0.1;0.05;0.05})
E4=E3+50
E5=A2
 
Upvote 0
Re: Need help with Sum Product calculation

Is there a way to jam this all into one cell? I am trying to keep the spreadsheet from having clutter. I also do not want other people screwing it up by altering fields they shouldn't.
 
Upvote 0
Re: Need help with Sum Product calculation

I also need to accomplish this for 20 people and each person has their totals on a separate page in the Excel workbook. Thus the reason I am trying to keep it all in one cell if at all possible.
 
Upvote 0
Re: Need help with Sum Product calculation

Hi Dave,
Something is not working when this is scaled to higher numbers.

If I double the above scenario:
Here is the example:
My stylist does $2000 a week in services and $180 in product sales. They would not get any commission for product sales as they are less than 10%.
My stylist does $2000 a week in services and $350 in product sales. They would get 10% of the first $298 which would be $29.80. They would get 15 percent of the $52 which would be $7.80. So their total commission would be $37.60.
My stylist does $2000 a week in services and $550 in product sales. They would get 10% of the first $298 which would be $29.80. They would get 15 percent of the $100 which would be $15.00. They would get 20% of $152 which would be $30.40. So their total commission would be $75.20.

Your calculations is giving me $0, $52.60 and $92.60 respectively.

Something is off. Any ideas?
 
Upvote 0
Re: Need help with Sum Product calculation

D3 is one cell.

If you mean add your two commission calculations, add the two formulas together.
=SUMPRODUCT(--(A2>{0,600,1000,1500,2000,2500,3000}),A2-{0,600,1000,1500,2000,2500,3000},{0.38,0.06,0.03,0.03,0.05,0.03,0.02})+(B2/A2>0.1)*SUMPRODUCT(--(B2>{0;149;199}),B2-{0;149;199},{0.1;0.05;0.05})

You could also put the brackets and rate diff information into named ranges.



Excel 2010
ABCDEFG
1ServicesProductCommissionBracketRateRate Diff
21,000.00275.00$37.60010.0%10.0%
3$37.6014915.0%5.0%
4$37.6019920.0%5.0%
51,000
1b
Cell Formulas
RangeFormula
G2=F2-N(F1)
D2=(B2/A2>0.1)*SUMPRODUCT(--(B2>E2:E4),B2-E2:E4,G2:G4)
D3=(B2/A2>0.1)*SUMPRODUCT(--(B2>{0;149;199}),B2-{0;149;199},{0.1;0.05;0.05})
D4=(B2/A2>0.1)*SUMPRODUCT(--(B2>Brackets),B2-Brackets,Rate_Diff)
E4=E3+50
E5=A2
Named Ranges
NameRefers ToCells
Brackets={0;149;199}
Rate_Diff={0.1;0.05;0.05}




Your later commentary indicates that your brackets are a factor of the revenue.
You can build the brackets by formula.
The brackets would be different for each different amount of revenue.
 
Last edited:
Upvote 0
Re: Need help with Sum Product calculation

A2 and B2 are always going to be different.

The percentage of commission is always static based on the tiers I described.

Given the second scenario I gave, the first bracket would not work.
 
Upvote 0
Re: Need help with Sum Product calculation

How did you determine the brackets?
 
Upvote 0
Re: Need help with Sum Product calculation

I took the brackets that you provided me.

The constant here is the stylist would get 10% commission on all products sales that are equal to 10% of their services and up to 14.9% of their services.
The stylist would get 15% commission on the product sales of 15%-19.9%, and 20% for those sales above 20%.
 
Upvote 0
Re: Need help with Sum Product calculation


Excel 2010
ABCDEFG
1ServicesProductCommissionBracketRateRate Diff
22,000.00350.00$37.60010.0%10.0%
329815.0%5.0%
439820.0%5.0%
52,000
1b
Cell Formulas
RangeFormula
D2=(B2/A2>0.1)*SUMPRODUCT(--(B2>E2:E4),B2-E2:E4,G2:G4)
G2=F2-N(F1)
E3=A2*0.149
E4=A2*0.199
E5=A2


You may want to check your definition of the brackets.
How do you want to assemble this for a simple solution?
 
Last edited:
Upvote 0

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