Start a new topic

Why is it called a FLOAT commission?

I am curious as to why the commission is called a float commission? What are the best use cases for applying a float commission?

1 person has this question
1 Comment

It is called a Float Commission because the salon can have their commission "float" depending on how well the salon employees do.

The float part of it is simply where their commission amount floats based on their sales performance.

The salon can have a float commission setup so the employees get a different amount of commission based on sales goals.  As sales goals are meet the salon can have the salon employee "float" up to the next step increasing their commission.

An example is an employee whose sales total $250.00.

Using the Float Commission Steps below the employee will receive commission based on the step highlighted in yellow.


The employee would receive 20% of the $250.00 in sales.  Their exact commission will float each month based on their performance.  This can be used to increase employee productivity and increase sales at the salon.

More information can be found on what a float commission is here:

Login or Signup to post a comment