Commission
Audit Protocol
Technical specifications for calculating 2026 performance-based compensation, real estate splits, and enterprise accelerators.
Global Sector Multipliers
SaaS Enterprise
Basis: ACV
Residential Real Estate
Basis: Sale Price
Commercial Insurance
Basis: Premium
Financial Services
Basis: AUM
Digital Products
Basis: Sale Price
The 2026 Real
Estate Shift
In 2026, the traditional 6% commission model has fractured. Following the NAR Settlement, buyer/agent agreements are now private and highly negotiable.
Seller Side (Listing)
Typically averages 2.88%. Includes marketing, staging indices, and MLS syndication fees.
Buyer Side (Split)
Averages 2.82%. Increasingly negotiated as flat fees or hourly rates by institutional buyers.
SaaS Accelerator
Mechanics
SaaS Account Executives (AEs) rely on Accelerators to achieve OTE (On-Target Earnings). These multipliers reward overage beyond quota.
"Accelerators should always be calculated on the marginal revenue, not the entire annual contract value, to ensure fiscal sustainability."
Institutional FAQ
Verified 2026 data for compensation audits.
QHow is the 2026 SaaS commission accelerator calculated?
Accelerators are typically applied to billings exceeding 100% of your annual quota. For example, if your base commission is 10% and you have a 1.5x accelerator for reaching 110% of your goal, you would earn 15% on all revenue generated beyond that 100% threshold.
QWhat happened to real estate commissions after the NAR settlement?
Post-settlement (2024-2026), buyer agent compensation is no longer listed in the Multiple Listing Service (MLS). This has shifted commissions to a more negotiable field, with buyer agent rates averaging 2.82% in 2026, though many buyers now negotiate fee-based or hourly structures instead of traditional percentages.
QIs sales commission taxed as supplemental income?
Yes. In the US, commissions are treated as 'supplemental wages.' Employers can choose to withhold at a flat federal rate of 22% (or 37% for amounts over $1M) or use the aggregate method. Note that your final tax liability is determined by your total annual income, so you may receive a refund or owe more upon filing.
QWhat is the difference between a recoverable and non-recoverable draw?
A recoverable draw is a loan against future commissions that must be repaid if you don't earn enough in sales. A non-recoverable draw is a guaranteed floor; if your commissions are lower than the draw, you keep the money, but if they are higher, you keep the excess.
QHow do 1099 contractors calculate self-employment tax on commissions?
1099 recipients must pay both the employer and employee portions of Social Security and Medicare (totaling 15.3% as of 2026). It is recommended to set aside 25-30% of every commission check for federal, state, and self-employment taxes.
QWhat are 'Tail' commissions in SaaS or Insurance?
Tail commissions (or renewals) are trailing payments made to the agent as long as the customer remains active. In SaaS, this is often 2-5% for years 2 and 3, whereas in Life Insurance, it can be significantly higher for the first 5-10 years of the policy life.