Commission is a type of compensation typically given to salespeople. Commission involves paying an
employee a percentage of the revenue earned from a sale that the employee has made. For
example, if a salesperson earns a 10% commission on sales he or she makes, he or she will be paid
$10 for making a $100 sale. Commission can be an employee’s sole form of compensation, or it may
be combined with a salary or hourly wage.
