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Affiliate commission calculator

See what a commission really costs before you set it: per customer, over a subscription’s life, and across a month of partner sales, after refunds and any fee your software takes.

$
A subscription’s monthly price, or a one-time order’s value
1 for a one-time sale
%
The partner’s share of each payment
0 for every payment while they stay
Customers who came through a partner’s link or code
%
Share of those sales refunded or cancelled
%
Some affiliate apps charge a share of the sales partners bring; Pozto charges 0%
Revenue from one customer$348
Commission on one customer$69.60
Commission as a share of their revenue20%

The 20 customers partners bring in one month, over their lifetime

Revenue, after refunds$6,612
Commissions$1,322
Software fee$0
What you keep$5,290

Commission per customer = price × months it pays (at most the months they stay) × commission. Refunded sales earn nothing. What you keep is before your own costs.

How it works

  • Price of a sale. A subscription’s monthly price, or the value of a one-time order.
  • Months a customer stays. How long a typical customer keeps paying. Use 1 for one-time sales.
  • Commission and months it pays. The partner’s share of each payment, and for how many months. 0 means every payment while the customer stays.
  • New customers from partners. How many customers partners bring in a month.
  • Refunded. Refunded or cancelled sales earn nothing.
  • Software fee. Some affiliate apps take a share of the sales partners bring. Pozto takes 0%.

Picking a commission

  • Subscriptions: many software programs pay a share of each payment for the first 12 months. Paying for every month costs more, but keeps partners promoting.
  • One-time orders: set the commission from your margin, not your price. A commission larger than your margin loses money on every sale.
  • Compare with ads: a commission is a cost per customer you only pay when a sale happens. Put it next to what a customer costs you in ads.

Then write the terms

Turn the numbers into rules partners can read with the affiliate terms generator, and run the program free on Pozto.

Questions

What’s a good affiliate commission?

It depends on your margin and how long customers stay. Software can afford more than physical products, because each extra customer costs little to serve. Try a few rates in the calculator and compare the cost per customer with what your ads pay.

Does the calculator include taxes?

No. Put in the price before tax; Pozto also works out commissions on the price before tax.