Commission crediting rules template
Crediting rules usually live in the heads of the two people who have been at the company longest, and every split gets negotiated after the deal closes, when the money is already on the table. The fix is to agree the rules and the split before close, and to separate quota credit from cost: overlays can get full credit on their own plans without taking anything from the AE. This template writes both down with a worked example for every rule.
Download it
What you get
- Crediting principles: crediting event, crediting value, and system of record
- A rules table for splits, overlays, team selling, transfers, and cross-territory deals
- Worked examples with credited ARR and commission for each rule
- A process for recording splits before close
- A checklist for testing the rules against last year's deals
Who it's for
- Comp admins writing or cleaning up crediting rules
- Sales leaders who referee split and transfer disputes
- RevOps teams configuring split fields in the CRM
What's inside
5 sections, each listed with its own size. The first is previewed below; the remaining 4 come with the download, with blank rows ready to fill in.
| Section | Size | Previewed |
|---|---|---|
| Crediting principles | 5 fields to complete | Below |
| Crediting rules | 4 columns, 6 worked example rows | In the download |
| Worked examples | 6 columns, 5 worked example rows | In the download |
| Why credit and cost are different questions | Guidance notes | In the download |
| Before the rules go live | 8-point checklist | In the download |
Preview of section 1
Crediting principles
- Crediting event
- e.g. Order form countersigned and opportunity closed-won in the CRM
- Crediting value
- e.g. First-year ARR, excluding one-time services and pass-through fees
- System of record
- e.g. CRM opportunity split fields; the commission system reads them and never overrides them
How to use it
1. Require splits to be recorded before close
Any split must be entered in the CRM and approved before the deal is closed-won. Splits requested after close go to the plan committee as exceptions, not corrections.
2. Separate quota-carrier splits from overlay credit
Splits between quota-carrying reps must sum to 100%. Overlays such as SEs or specialists get credit on their own plans and never reduce the quota carrier's share.
3. Tie transfer rules to stage, not to who worked hardest
Use the opportunity's stage on the transfer date to decide credit. Effort is not auditable; stage history is.
4. Test on last year's deals
Run 20 real deals from last year through the rules, including every split and transfer. Any deal the rules cannot decide needs a new rule before the plan year starts.
Frequently asked questions
What is a split commission policy?
A written rule for how credit and commission are divided when more than one person works a deal, including who can split, the percentages, when the split must be agreed, and who approves it.
How should commission be split between two reps?
Agree the percentage before the deal closes and record it in the CRM, with both managers approving. A 50 / 50 default works when no one enters a percentage, but the split must always sum to 100% between quota carriers.
What is overlay credit in sales compensation?
Credit given to a supporting role, such as a sales engineer or specialist, on their own plan, without reducing the primary rep's credit. The overlay's rate is set so the total cost of the deal stays within plan.
Who gets commission when a territory changes mid-deal?
Set it by stage on the transfer date. A common rule gives early-stage opportunities to the new owner and splits late-stage opportunities that close soon after the transfer.