What does it mean to be paid by Commission?

A commission is a payment that an employee makes based on a sale. Some employees earn commission in addition to their base income, while other employees work only on commission. When an employee earns a commission, they make a portion of the sale in income.

What is a sales commission?

The U.S. Department of Labor defines a sales commission as a sum of money paid to an employee when a task is completed, usually selling a certain amount of goods and services. Commissions can also be paid as incentives to increase worker productivity.

What is Commission pay & how does it affect your salary?

But what is commission pay, and how does it affect your salary? What is commission? According to the U.S. Department of Labor, a commission is the sum paid to an employee for completing a task, which is usually selling a certain amount of goods or services. Commission might be paid on top or in place of a regular salary.