Working out commission structure

getafix40

New Member
Joined
Aug 1, 2014
Messages
49
Column AB is the gross profit entry.

The sales agent ears commission as follows:

0-19999 @ 10%
20000 upwards is 20%

The difficult part is that the 20% is payable from 20000 GP and not calculated from 0.

EG. If total GP is 15000$ the agent will earn 1500$
If total GP is 45000$ the agent will earn 5000$ (45000-20000=25000*20%)

Total comm will be 2000$ + 5000$=7000$

AB=Gross Profit
AD=Commission @ 10% less than 20000 GP
AE=Commission @ 20% in excess of 20000 GP
AF=Total Commission

Formula for AD is =IF(AB90<19999,AB90*10%)

Not sure how to work out the rest
 

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Can a formula spear through sheets?
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You actually don't need any helper columns unless you just want them:

Code:
=IF($AB1<20000,10%*$AB1,(10%*19999)+(20%*($AB1-19999)))

This will say:

If it's less than 20,000 (eg. 0-19,999), the value is 10% of the value in AB. Otherwise, it's (10% * 19,999) + (20% * the value LESS 19,999).

If you want the helper column:

Code:
=IF($AB1>19999,20%*$AB1,0)
 
Upvote 0
Another way:

A​
B​
C​
1​
Sales​
Comm​
2​
$ 5,000​
$ 500​
B2: =10%*A2 + MAX(0, 10%*(A2-10000))
3​
$ 10,000​
$ 1,000​
4​
$ 15,000​
$ 2,000​
5​
$ 20,000​
$ 3,000​
6​
$ 25,000​
$ 4,000​
 
Upvote 0
You actually don't need any helper columns unless you just want them:

Code:
=IF($AB1<20000,10%*$AB1,(10%*19999)+(20%*($AB1-19999)))

This will say:

If it's less than 20,000 (eg. 0-19,999), the value is 10% of the value in AB. Otherwise, it's (10% * 19,999) + (20% * the value LESS 19,999).

If you want the helper column:

Code:
=IF($AB1>19999,20%*$AB1,0)

Thanks a stack - you're a star.

I have included the helper columns as m boss likes to see exactly how things work out.

Your 1st code is what I was looking for, the second I had already worked out.

Thanks a mill
 
Upvote 0

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