Calculator

Australian Sales Commission Calculator

Five inputs. Three scenarios. See what your offer is really worth at 80%, 100% and 120% of target.

Updated July 2026

Tax figures: FY2026-27

Most advertised OTE numbers in Australian building products sales roles assume 100% target achievement. Real-world averages sit lower, and after-tax take-home looks different again. Use this calculator to model what a role actually pays before you sign an offer, and to compare two offers side by side.

Want the full breakdown? Read the blog post: What Does Your Commission Structure Actually Pay? →

What building products commission structures actually look like

Before you model a single offer, it helps to know where the market sits. These are the pay mixes and commission mechanics I see most often across building products, lighting and A&D sales roles in Australia.

Most building products sales roles run a base to variable split between 70:30 and 85:15. Pure BDM roles sit closer to 60:40.

StructureTypical range
Above-threshold commission on revenue3% to 8% of revenue
Margin-based commission5% to 15% of gross profit
Specification rolesFlat quarterly KPI bonus, $5,000 to $10,000 per quarter

Your offer

$

Annual base salary before tax and super.

$

Optional. Leave at 0 if none.

$

The total commission you'd earn if you hit 100% of your number.

MLS thresholds differ for singles vs families. Tested on your income only, not partner's.

What percentage of target do you realistically expect to hit? Most building products sales teams average 60-80%.

Your scenarios

Conservative year

60% of target

Monthly take-home

$8,548

Gross package
$140,000
Annual take-home
$102,580
Income tax
-$32,870
Medicare Levy
-$2,800
Medicare Levy Surcharge
-$1,750
Effective tax rate
26.7%

Plus $16,800 employer super

Realistic year

70% of target

Monthly take-home

$8,797

Gross package
$145,000
Annual take-home
$105,568
Income tax
-$34,720
Medicare Levy
-$2,900
Medicare Levy Surcharge
-$1,813
Effective tax rate
27.2%

Plus $17,400 employer super

Strong year

100% of target

Monthly take-home

$9,511

Gross package
$160,000
Annual take-home
$114,130
Income tax
-$40,270
Medicare Levy
-$3,200
Medicare Levy Surcharge
-$2,400
Effective tax rate
28.7%

Plus $19,200 employer super

Your selected scenario (70% attainment)

70% of target

Monthly take-home

$8,797

Gross package
$145,000
Annual take-home
$105,568
Income tax
-$34,720
Medicare Levy
-$2,900
Medicare Levy Surcharge
-$1,813
Effective tax rate
27.2%

Plus $17,400 employer super

At 70% of target, you take home $8,797 per month.

A conservative 60% year takes home $8,548. A strong 100% year takes home $9,511.

Estimates only. Based on FY2026-27 Australian resident tax rates. Does not account for: salary sacrifice, novated leases, partner income for MLS, FBT on company vehicles, or other personal tax circumstances. Not financial or tax advice. Confirm with a registered tax agent for your specific situation.

Rates used (FY2026-27)

Resident income tax

  • $0-$18,2000%
  • $18,201-$45,00015%
  • $45,001-$135,00030%
  • $135,001-$190,00037%
  • $190,001+45%
Medicare levy2%
Super guarantee12%

HECS/HELP

Below $67,000: 0% · $67,000-$125,000: 15c · $125,000-$179,286: 17c · Above $179,286: 10% cap

Last updated: 2026-06-30

Typical OTE for building products sales roles

RoleOn-target earnings
Account Manager$110,000 to $150,000
Business Development Manager$130,000 to $180,000
Specification Representative$130,000 to $160,000+

Superannuation is payable on commission. Commission forms part of ordinary time earnings under ATO rules, so the 12% superannuation guarantee applies to it, not just to base salary.

A single OTE number rarely settles it. If you are benchmarking a whole offer, base, commission mechanics, car and super together, see how I benchmark a full package.

What The Numbers Don't Tell You

1

OTE is a ceiling, not a floor

"On-target earnings" is the employer's best-case scenario, not a guarantee. Ask what percentage of the team actually hit target last year.

2

Super applies to your commission

Employers must pay 12% super on base salary plus commission (both are ordinary time earnings). Car allowances are generally not superable.

3

Ramp periods matter in year one

If there's a guaranteed commission during your first 3-6 months, your actual year-one earnings will differ from a full year at target. Ask about the ramp structure and what happens when it ends.

Frequently Asked Questions

What is a typical commission structure for building products sales in Australia?

Most building products sales roles run a base to variable split between 70:30 and 85:15, with pure BDM roles closer to 60:40. The variable component is usually above-threshold commission at 3% to 8% of revenue, or margin-based commission at 5% to 15% of gross profit. Specification roles are the exception, because attribution is harder to pin to one rep, so they typically run a flat quarterly KPI bonus of $5,000 to $10,000 per quarter. Superannuation at 12% is payable on commission as well as base.

How is sales commission taxed in Australia?

Commission is taxed as ordinary income at the candidate's marginal tax rate. This calculator applies standard Australian resident tax rates for the current financial year so the take-home figure reflects what actually lands in your account, not the gross OTE quoted in job ads.

What's a realistic OTE achievement rate in building products sales?

Advertised OTE typically assumes 100% target achievement. In practice, most building products sales roles see average achievement between 60-80% across a team. Modelling a 70% year is a more honest baseline than taking the OTE line at face value.

How do I compare two sales offers with different commission structures?

Run each offer through the calculator using the same achievement assumption (try 70%, 85%, and 100%). Look at take-home at each level, not just the headline OTE. A role with a higher base and lower commission can pay more in a weaker year than a role with an aggressive OTE built on optimistic targets.

What's the difference between commission and bonus in Australian sales roles?

Commission is typically paid monthly or quarterly on closed revenue and is ongoing. Bonuses are usually discretionary, annual, and tied to broader business performance or individual KPIs. Building products roles can have both. Model them separately — bonuses are less predictable.

Evaluating an offer?

I can walk you through the full picture.

Let's talk →
Back to Resources

Commission Builder

This models an offer. The Commission Builder designs the whole plan. Two AI prompts that turn what you pay now into a structure that holds your best rep.

Open the builder