Why a threshold exists
Below a threshold (usually 50–70% of quota) reps are producing less than the cost of employing them. A decelerator ensures the company doesn't pay a market rate for underperformance — but set it too low and you create a comp cliff that pushes low performers to leave for a competitor's easier plan.
Accelerator design
A 2x accelerator above 100% is the industry norm. Higher (2.5–3x) works for enterprise reps whose extra dollar of bookings has higher gross margin. Lower (1.25–1.5x) is common when quotas are set aggressively and 110% is the real target.
SPIFs vs. comp plan
SPIFs are for specific, time-boxed behaviors (new product, strategic segment, quarterly close). They should be < 10% of total variable — if SPIFs are > 20% of pay, the base plan is broken and you're band-aiding.
FAQ
Does this calculator handle MBOs / kickers?
It handles a single SPIF line. For multiple MBOs, sum them into the SPIF field.
What's a healthy cost of sales?
For SaaS, all-in sales comp (base + variable + benefits + tools) should be 20–30% of new ARR. Variable-only should be 8–15%.
How do I know if my plan is over-paying?
If top reps are consistently earning >2x OTE, either quotas are too soft or the accelerator is too rich. Recalibrate for the next plan year.
What about tiered commission (multiple rates)?
The 3-band model here (decel / normal / accel) covers ~90% of SaaS plans. For 4+ tiers, run the calc twice with different accelerator inputs.
Should base and variable be equal?
Standard SaaS is 50/50. Enterprise leans 40/60 or 30/70 (more variable). Inside sales / SDR tends 60/40 or 70/30 (more base).
How does this differ from a draw?
A draw is a guaranteed minimum earning during ramp — it doesn't change the plan structure. You can approximate a draw by setting the payout threshold to 0% and decelerator to 1.
How this calculator is built
Independently maintained
Written by Sam Doshi and the RevenueLab editorial team. We don't sell the data feeds this tool is built on.
Sourced from primary data
Benchmarks come from public AdSense / Stripe / IRS disclosures and reader-submitted data — never third-party "$X per view" claims. Full methodology.
Last reviewed
July 2026. We re-check every figure on the platform on a rolling quarterly cycle.
Editorial standards
See our editorial policy and disclaimer. Results are estimates, not advice.