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What is a commission of 8%?


If an employee brings in $50,000 of business in a month and their commission rate is 8%, they would be paid $4000, minus all applicable taxes. (50,000 x 0.08 = 4000) This type of commission is most common within the real estate and auto industries.
A commission, in its simplest form, is some percentage of revenue. For example, a salesperson may earn 3% of whatever they sell. If a product is sold for $100, the salesperson would earn $3 from that sale.