Depending on your settings, commissions for products and services can be based on net or gross revenue.
Things to know:
- If a custom discount is applied to the ticket, the commission will be based on the pre/post setting on the Settings page.
- If a promotion is applied to a ticket, the commission will be based on the pre/post setting on the promotions page.
Contents
Enable Pre/Post Discount on Settings Page
To adjust the pre/post discount option in settings:
- Navigate to Business Setup > Settings
- Locate the Staff section
- There are 2 settings that are off by default, calculate service commissions post-discount and calculate product commissions post-discount.
- If you want to calculate the commission pre-discount, leave the setting as is. To calculate the post discount, toggle the setting to YES
- Save
Set Pre/Post Discount on Promotions Page
The pre/post discount setting can be configured per promotion on the promotions page, allowing it to vary by promotion. Here are the steps:
- Navigate to Marketing > Promotions
- Select the “Create Promotion” button
- Scroll down to “Calculate Staff Commissions”
- Expand drop-down menu
- The option is shown to calculate staff commissions pre-discount or post-discount
SCENARIOS
- Scenario1: Promotion is set post-discount and settings have post discount set as OFF - Revenue and commissions for staff should be based on the post-discount values.
- Scenario 2: Promotion is set pre-discount and settings have post discount set as ON - Revenue and commissions for staff should be based on the pre-discount values.
- Scenario 3: Promotion is set pre-discount and settings have post discount set as OFF - Revenue and commissions for staff should be based on the pre-discount values.
- Scenario 4: Promotion is set post-discount and settings have post discount set as ON - Revenue and commissions for staff should be based on the post-discount values.
Examples:
The company setting is set to:
- Calculate service commissions post-discount? = YES
- Calculate product commissions post-discount? = YES
In Promotions, staff commission is set to be calculated on pre-discount value (gross revenue)
Discount amount - 5%
Service price = $50
Product price = $30
1) Molly has tiered commission by revenue setup for products and services as:
- Above $0 per pay cycle then pay 10 %
- Above $50 per pay cycle then pay 20 %
2) Terry has straight commission set up as:
- 10 % of services & products revenue
Let’s look at the compensation report to see how the data is displayed and calculated.
Data for Molly - Revenue and commission is calculated pre-discount (based on promotion setting)
- Service revenue = $50 (gross revenue)
- Service commission - 20 % x $50 = $10
- Product revenue = $30 (gross revenue)
- Product commission - 10 % x $30 = $3
Data for Terry - Revenue and commission is calculated pre-discount (based on promotion setting)
- Service revenue = $50 (gross revenue)
- Service commission - 10 % x $50 = $5
- Product revenue = $30 (gross revenue)
- Product commission - 10 % x $30 = $3