Commission Rate Maintenance

Menu Path: Customer Service $Images\bluerarw.gif$ Order Options $Images\bluerarw.gif$ Commissions $Images\bluerarw.gif$ Commission Rate Maintenance

Purpose

Set up and maintain sales representative commissions based on date ranges.

Overview

Use Commission Rate Maintenance to define commission rates for sales representatives based on starting and ending invoice dates. A commission rate is a percentage of either sales or profit that is assigned to a combination of a specific sales representative or a group of sales representatives (commission group), a specific customer or a group of customers (commission book), and a specific product, group of products (commission class), or additional charge.

The order of resolution for the commission rate table is displayed in the Commission Rate Resolution field on the Commissions / Allowances tab in Customer Service Control Maintenance. For more information, see Commission Resolution FAQ.

Example If COMM GR. COMM BK. COMM CL. is the first item in the Commission Rate Resolution field, each time an order is generated for a customer, the resolution will first look at all commission groups (sales representatives), commission books (customers), and commission classes (products). If no commission rate is found, it will go to the next line in the field and attempt to find a rate. This search will stop when a commission rate is found.

Use the top of the window to select the type of record being created, updated, or deleted. then enter or update information for the record using the Main tab.

On the Customer Allowances tab, you can also specify customer allowance type groups for which you want to deduct customer allowance amounts before calculating commissions for a commission rate.

You can also import commission rates in Commission Rate Import.

Ribbon Home Tab Buttons

Button	Description
Exit	Click this button to close the Commission Rate Maintenance window.
New	Click this button to create a new commission rate.
Update	Click this button to edit the selected commission rate.
Delete	Click this button to delete the selected commission rate.
OK	Click this button to accept an action. This button is only available after you click the New, Update, or Delete button in the ribbon.
Cancel	Click this button to cancel an action. This button is only available after you click the New, Update, or Delete button in the ribbon.
First	Click this button to display the first commission rate.
Prev	Click this button to display the previous commission rate.
Next	Click this button to display the next commission rate.
Last	Click this button to display the last commission rate.
Group Maintenance	Click this button to display Customer Allowance Type Group Maintenance, which allows you to enter, view, edit, or delete customer allowance type groups.
Rule Maintenance	Click this button to display Customer Allowance Rule Maintenance, which allows you to enter, view, edit, or delete customer allowance rules.

Fields and Buttons

Field or Button	Description
All	Select this check box if the commission rate is for all sales types. This check box is selected by default.
Sale Type	Enter a sales type for the commission rate, or click the Lookup button to select a sales type. This field is only enabled if the All check box is cleared. For information on setting up sales types, see Sales Type Maintenance.
Sales Representative/Commission Group	Select whether you want to select a specific sales representative or commission group.
Customer/Commission Book	Select whether you want to select a specific customer or commission book.
Product/Commission Class/Additional Charge	Select whether you want to select a specific product, commission class, or additional charge.
Sales Representative ID	Enter the sales representative ID for the commission rate, or click the Lookup button to select a sales representative ID. This field is only available if you select the Sales Representative radio button.
Type	This field displays the sales representative type for the selected sales representative. This field is only available if you select the Sales Representative radio button.
Commission Group	Enter the commission group ID for the commission rate, or click the Lookup button to select a commission group ID. This field is only available if you select the Commission Group radio button.
Description (Commission Group)	This field displays the description for the selected commission group. This field is only available if you select the Commission Group radio button.
Customer Code	Enter the customer code for the commission rate, or click the Lookup button to select a customer code. This field is only available if you select the Customer radio button.
Customer Name	This field displays the name for the selected customer. This field is only available if you select the Customer radio button.
Commission Book	Enter the commission book ID for the commission rate, or click the Lookup button to select a commission book ID. This field is only available if you select the Commission Book radio button.
Description (Commission Book)	This field displays the description for the selected commission book. This field is only available if you select the Commission Book radio button.
Product Code	Enter the product code for the commission rate, or click the Lookup button to select a product code. This field is only available if you select the Product radio button.
Product Name	This field displays the name for the selected product. This field is only available if you select the Product radio button.
Commission Class	Enter the commission class ID for the commission rate, or click the Lookup button to select a commission class ID. This field is only available if you select the Commission Class radio button.
Description (Commission Class)	This field displays the description for the selected commission class. This field is only available if you select the Commission Class radio button.
Charge Type	Enter the additional charge type for the commission rate, or click the Lookup button to select an additional charge type. This field is only available if you select the Additional Charge radio button.
Description (Additional Charge)	This field displays the description for the selected additional charge. This field is only available if you select the Additional Charge radio button.
Navigate by	Select the records you want to display using the standard navigation buttons. This determines the sort order of displayed records.

Main Tab Fields and Buttons

Field or Button

Description

Used for Sales Representative Selection

Select this check box to use the commission rate to determine the sales representative for order line items during invoice creation. This check box is cleared by default, and only enabled if the Sales Representative radio button is selected.

Start Date

Enter the start date for the commission rate, or click the drop-down arrow to select a date.

End Date

Enter the end date for the commission rate, or click the drop-down arrow to select a date.

Rate Type

Select one of the following rate types:

Percent of Sales - Calculate commission by applying the rate to net sales.
Percent of Profit - Calculate commission by applying the rate to the commission gross profit.
Percent of Discount Sales - Calculate commission based on a sliding scale of discount from the price selected in the Price field. Typically, if a greater discount is given to a customer, the commission rate is lower. This generally provides more incentive to sales representatives to not discount deeply. When you select this rate type, you can enter up to 10 discount/commission levels.

Note Any additional charge that is marked to be posted with items is included with the sale of the product for commission purposes. For information on setting up additional charges, see Order Entry Additional Charge Maintenance.

Rate

Enter the commission percentage.

Note A 5% commission is entered as 5.0000.

You can leave this as 0.0000 if you select the Used for Sales Representative Selection check box, and you want the commission rate to be used only to select a sales representative (without creating any commissions).

Price

Select the price to use for commissions calculated for the commission rate. Select one of the following:

Default Regular Price - Use the price selected in the Default Regular Price field on the Cost/Pricing tab in Customer Service Control Maintenance
User Defined List Price - Use one of the four list prices. Labels for the four list prices are entered in the 1st List Price Label, 2nd List Price Label, 3rd List Price Label, and 4th List Price Label fields on the Cost/Pricing tab in Customer Service Control Maintenance. If you select this option, enter the price to use in the User Defined List Price field.

Note If you select Default Regular Price, the price used to calculate commissions is the price entered for line items during order entry. However, if you select one of the four list prices, the price used to calculate commissions is the price at the time the invoice is created.

These radio buttons are only available if you select the Percent of Discount Sales radio button.

User Defined List Price

Enter the price to use for commissions calculated for the commission rate, or click the Lookup button to select the price. Labels for the four list prices are entered in the 1st List Price Label, 2nd List Price Label, 3rd List Price Label, and 4th List Price Label fields on the Cost/Pricing tab in Customer Service Control Maintenance.

This field is only available if you select the User Defined List Price radio button.

Min. Sales Amount

Enter the minimum sales amount on an invoice required for the commission to be calculated.

Example If the minimum sales amount is set to $100, then no commission is calculated for invoices less than $100.

SPIF Amount

Enter the SPIF amount, if applicable. This field is slated for functionality in a future release.

Payable at

Select one of the following options:

Invoice - Mark commissions as paid for the commission rate when invoices are created. If you select this option, commissions are paid based on invoice reference dates.
Payment - Mark commissions as paid for the commission rate when invoices are paid by customers. If you select this option, commissions are paid based on accounts receivable transaction dates. If you select this option, and a closed accounts receivable item is reopened (for example, due to a NSF transaction), commissions are taken away from sales representatives.

You can set the default value for this option on the Commissions / Allowances tab in Customer Service Control Maintenance.

Discount % 1-10

Enter up to 10 discount percentages for setting up a sliding commission scale. These fields are only available if you select the Percent of Discount Sales radio button.

NOTE The system uses the commission rate for the discount percentage up to and including the entered percentage.

EXAMPLE You set up the following:

Discount % 1: 0	Rate 1: 15
Discount % 2: 10	Rate 2: 14
Discount % 3: 15	Rate 3: 13

If the discount is 0%, the commission rate is 15%. If the discount percentage is 0-10%, the commission rate is 14%. If the discount rate is 10-15%, the commission rate is 13%. If the discount rate is greater than 15%, the commission rate is 0%.

EXAMPLE You set up the following:

Discount % 1: 10	Rate 1: 15
Discount % 2: 15	Rate 2: 14

If the discount percentage is 0-10%, the commission rate is 15%. If the discount rate is 10-15%, the commission rate is 14%. If the discount rate is greater than 15%, the commission rate is 0%.

Rate 1-10

Enter up to 10 commission rates corresponding to the discount percentages for setting up a sliding commission scale. These fields are only available if you select the Percent of Discount Sales radio button.

Customer Allowances Tab Fields and Buttons

Field or Button	Description
No Commission Impact	This grid displays customer allowance type groups that include customer allowance types that have no impact on commissions for the commission rate.
	Click this button to add the selected customer allowance type group in the No Commission Impact grid to the Commission Impact grid.
	Click this button to add all customer allowance type groups in the No Commission Impact grid to the Commission Impact grid.
	Click this button to remove the selected customer allowance type group from the Commission Impact grid.
	Click this button to remove all customer allowance type groups from the Commission Impact grid.
Commission Impact	This grid displays customer allowance type groups that include customer allowance types that impact commissions for the commission rate. Customer allowance amounts for these customer allowance type groups are deducted before calculating commissions for the commission rate.