Does anyone have an MS Excel formula for calculating sales organization commissions for proforma forecasting?

I'm in the process of "evolving" a 5-year proforma model that projects sales commissions as a percentage of the sales organization's base compensation, for a telecom software development company, starting with the EVP of Sales/Marketing, International Regional Directors of Sales/Marketing, Business Development Managers, Sales Engineers/Solution Architects and, finally, the sales personnel working directly and through channels.

Thanks in advance.

Answers

Tom Scott Principal Consultant • August 4, 2012

Is there some complexity in the commission schedule that you need to build into the formula? Thresholds, aggregate targets, fixed dollar commissions?

I've built tools to calculate fees based some pretty hairy fee schedules, but need more detail on what you need to accomplish in order to help you out.

Perhaps you could provide an example.

Robert Morgan Managing Director • August 4, 2012

Keep it simple as your Pro Forma is also your Company's best judgment. Use the historical % of sales commissions to sales; it could not be more simple than that and probably just as accurate. Robert Morgan {CEO Morgan, Maxwell & Hannah Inc. Consultants for 36 years and author of "Crisis Management Cookbook or how to Keep From Cooking your Goose"}.

Scott Love CPA • August 7, 2012

Try this blog. This guy is an Excel master and if you search his blog, I'm sure you'll find what you are looking for. Many examples, dashboards, etc.
http://chandoo.org/wp/

Want to join the conversation? Submit an answer or ask a question by emailing us at [email protected]

Submit an answer

Does anyone have an MS Excel formula for calculating sales organization commissions for proforma forecasting?

Answers

Reach our audience

Related Publications