Content tags: commission payments, calculate commission using payments, paid in period, payment date, invoice date, partial payment, unpaid invoice, commission report
Labels: commission reports, payments
Commission can be calculated from payments in the report period, or from invoices by invoice date. The setting Calculate commission using payments chooses which.
Turn payments mode on or off
- Go to Settings → Sales Settings.
- In the Agents section, enable or disable Calculate commission using payments.
- Click Save.
New reports use the setting as it is when you create them. Changing it later does not rewrite reports that are already created.
What payments mode does
With the setting on, an invoice is commissioned when the customer pays, not when the invoice is dated. The report looks at payments whose date falls in the report period.
- The paid section is labelled Payments, not Paid invoices.
- A Paid in period column shows how much of the invoice was paid in this period. That amount is what commission is calculated on.
- The invoice date column also shows Paid: with the payment date.
Partial payments
If the customer only pays part of an invoice in the period, that part appears under Payments. The remaining balance appears under Unpaid invoices. The same invoice can show in both sections.
Later payments on the same invoice go into later reports. Commission is not paid twice for the same payment.
Credit notes
A credit note used to pay an invoice counts as a payment in this mode. Standalone booked credit notes still enter the report by credit note date.
Invoice date mode
With Calculate commission using payments turned off, booked invoices enter the report by invoice date.
| Payments mode (setting on) | Invoice date mode (setting off) | |
|---|---|---|
| What enters the paid section | Payments dated in the period | Invoices dated in the period that are paid |
| Section label | Payments | Paid invoices |
| Commission base | Amount paid in the period (after policy exclusions) | Invoice subtotal (after policy exclusions) |
| Unpaid invoices | Currently unpaid booked invoices for the agent (not limited to the period) | Invoices dated in the period that are not fully paid |
| Split across reports | Yes — each payment is commissioned in its own period | No — the invoice is commissioned once, in the period of its date |
Which mode to use
- Use payments if you pay agents when the customer pays you.
- Use invoice date if you pay agents when you invoice, even if the invoice is still unpaid.
Tip: Unpaid lines on a report are for visibility. Closing the report commissions the paid (or payment) lines. Remaining balances can appear again in a later report when they are paid (payments mode) or stay as unpaid until paid (invoice date mode).
Related articles
- [LINK: Introduction to commission reports — how commission reports fit together]
- [LINK: Commission policies — what is subtracted before commission is calculated]
- [LINK: Reviewing and closing a commission report — how to create and close a report]
- [LINK: How sales are allocated to agents (sale visibility, commission and reports) — only the primary agent is commissioned]