Commissions and rebates calculation examples

These grades are explained:

  • Example 1: Grade by amount
  • Example 2: Grade by quantity - Maximum limit
  • Example 3: Grade by amount - Calculation method net
  • Example 4: Grade by amount - Profit percentages
  • Example 5: Grade by amount - Parent relation
  • Example 6: Grade by amount - Cumulative agreement

The following agreement parameters are applicable, which you can specify in the Commission Agreement (tdcms0635m000) session and the Rebate Agreement (tdcms0635m100) session:

  • Grade by Quantity/Amount
  • Grade Unit
  • Grade Calculation
  • Commission Over/ Rebate Over
  • Grow Commission Over/ Grow Rebate Over
  • Cumulative Agreement
Example 1: Grade by amount
Agreement
To AmountProf PercCommission Percentage over GradeGrowing Percentage over TotalFixed AmountMaximum Limit
10000.00 [%]1.00 [%]0.00 [%]0.000.00
20000.002.000.000.000.00
50000.004.000.500.000.00
100000.005.001.000.000.00
250000.005.001.500.000.00

 

A relation closed an order of 12,500.

CalculationCommission Perc.Commission
1,000 * 1%grade 0-100010
1,000 * 2%grade 1000-200020
3,000 * 4%grade 2000-5000120
5,000 * 5%grade 5000-10000250
2,500 * 5%grade 10000-25000125
Total commission-525

 

CalculationGrowing PercentageTotal Commission
12,500 * 1.5%187.5712.50

 

Example 2: Grade by quantity - Maximum limit
Agreement
To QuantityProf PercCommission Percentage over GradeGrowing Percentage over TotalFixed AmountMaximum Limit
100.00 [%]1.00 [%]0.00 [%]0.000.00
200.002.000.000.000.00
500.004.000.500.00150.00
1000.005.001.000.00200.00
2500.005.001.500.00400.00

 

A relation closed an order of 200 jeans at a price of 100 each.

CalculationCommission Perc.Commission
10 * 100 * 1%grade 0-1010
10 * 100 * 2%grade 10-2020
30 * 100 * 4%grade 20-50120
50 * 100 * 5%grade 50-100250
50 * 100 * 5%limit 250-200-50
50 * 100 * 5%grade 100-250500
50 * 100 * 5%limit 500-400-100
Total commission-750

 

CalculationGrowing PercentageTotal Commission
150 * 100 * 1.5%225975
200 * 100 * 1.5%3001050

 

Example 3: Grade by Amount - Calculation method net
Agreement
To AmountProf PercCommission Percentage over GradeGrowing Percentage over TotalFixed AmountMaximum Limit
10000.00 [%]1.00 [%]0.00 [%]0.000.00
20000.002.000.000.000.00
50000.004.000.500.000.00
100000.005.001.000.000.00
250000.005.001.500.000.00

 

A relation closed an order of 12,500.

CalculationCommission Perc.Commission
(1000 - (1,000 * 1%)) * 1 %grade 0-10009.9
(1000 - (1,000 * 2%)) * 2 %grade 1000-200019.6
(3000 - (3,000 * 4%)) * 4 %grade 2000-5000115.2
(5000 - (5,000 * 5%)) * 5 %grade 5000-10000237.5
(5000 - (2,500 * 5%)) * 5 %grade 10000-25000118.75
Total commission-500.95

 

CalculationGrowing PercentageTotal Commission
(12500 - (12,500 * 1.5%) * 1.5184.68685.63

 

Example 4: Grade by amount - Profit percentages
Agreement
To AmountProf PercCommission Percentage over GradeGrowing Percentage over TotalFixed AmountMaximum Limit
10000010.00 [%]0.00 [%]0.00 [%]0.000.00
10000020.000.001.000.000.00
10000050.000.002.000.000.00
20000010.000.002.500.000.00
20000020.000.003.500.000.00

 

A relation closed an order of 125,000.

CalculationCommission Perc.Commission
125,000 * 2.5%grade 100,000 - 200,000, profit 10%3125
Total commission-3125

 

Example 5: Grade by Amount - Parent relation
Agreement for William, George and John
To AmountProf PercCommission Percentage over GradeGrowing Percentage over TotalFixed AmountMaximum Limit
10000.00 [%]1.00 [%]0.00 [%]0.000.00
20000.002.000.000.000.00
50000.003.000.000.000.00
100000.004.000.000.000.00
250000.005.000.000.000.00

 

 
           William 
              |
    __________|__________ 
   |                     | 
George                  John 

William is the parent relation of George and John. 
George and John form a relation team. 

John and George are linked to an order line. The sale was for 1,250.

JOHN--
CalculationCommission Perc.Commission
1,000 * 1%grade 0-100010
250 * 2%grade 1000-20005
Total-15

 

GEORGE--
CalculationCommission Perc.Commission
1,000 * 1%grade 0-100010
250 * 2%grade 1000-20005
Total-15

 

WILLIAM--
CalculationCommission Perc.Commission
1,000 * 1%grade 0-100010
250 * 2%grade 1000-20005
1,000 * 1%grade 0-100010
250 * 2%grade 1000-20005
Total-30

 

Example 6: Grade by Amount - cumulative agreement

If the agreement is cumulative, LN does not calculate the commissions and rebates immediately, but stores the sales data in a separate file, sorted by agreement and relation. Each relation can have a different period table.

The relations are calculated every week.

Cumulative agreement
To AmountProf PercCommission Percentage over GradeGrowing Percentage over TotalFixed AmountMaximum Limit
200000.00 [%]5.00 [%]0.00 [%]0.000.00
500000.0010.000.000.000.00

 

In one week, the relation closed three orders.

DayAmount
Monday7,500
Tuesday12,000
Friday13,500
Sum33,000

 

The commission is calculated over the total amount: 33,000.

CalculationCommission Perc.Commission
20,000 * 5%grade 0-200001000
13,000 * 10%grade 20000-500001300
Total-2300