UC-02 · Tiered (waterfall) rates
A tiered rule rewards higher cumulative volume. It applies each band’s rate only to the part of the sale that falls in that band. This walkthrough posts a $100,000 sale on top of $80,000 already earned this period.
Expected result: commission $4,600 — $600 from the first band + $4,000 from the second — recorded as one detail row per tier segment.
Setup
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Create a plan (as in UC-01). In Rate Rules, add one rule with Calc Method = Percent of Sales.
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Turn Tiered on. Set Tier Measure = Cumulative Sales Amount.
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Choose Tiers on the rule. Define two contiguous bands (bands must start at 0, with no gaps or overlaps):
From Amount To Amount Rate Pct 0 100,000 3 100,000 250,000 5 -
Assign one agent to the customer at 100%.
Establish the prior cumulative
The tier position comes from what the agent/plan already earned in the period. First, post earlier invoices for this agent that total $80,000. The cumulative measure then starts at $80k.
Post the $100,000 invoice
Post a sales invoice for $100,000 of a commissionable item to that customer.
Result
The sale runs from cumulative $80,000 to $180,000. It completes band 1 and continues into band 2:
| Segment | Portion | Rate | Commission |
|---|---|---|---|
| Band 1 (to 100k) | 20,000 | 3% | 600.00 |
| Band 2 (100k–250k) | 80,000 | 5% | 4,000.00 |
| Total | 100,000 | 4,600.00 |
The commission ledger entry shows Commission Amount 4,600.00 and Basis Amount 100,000.00. Open the entry and examine Detailed Entries. There are two rows, one per segment. Each row has its own Tier No., Basis Amount Segment, Rate Pct Applied, and Commission Amount Segment. The top band’s rate does not apply to the whole amount.
Notes
- Posting order matters inside one day. The cumulative position comes from the already-posted entries at the moment the app processes each document. Same-day invoices that cross a band boundary can therefore differ by posting order. This is the intended V1 behavior.
- Bands must be contiguous and must start at 0. The rule makes sure of this when you edit the tiers.
→ Related: Commission plans → Tiered rates · Ledger & audit → detail breakdown