Commission and Rebates

The Commissions and Rebates section of Deacom serves two purposes. First, it defines which customers will receive Rebates and which Sales Reps or Brokers will receive Commissions. Second, it sets the Commission and Rebate amounts, time period, and all appropriate qualification criteria, such as sales to specific customers or sales of specific parts. In Deacom, Sales Assignments define the sales person and their commission percentages for customer sales. The sales assignments on Bill-to Companies are used when creating Ship-to Companies and the sales assignments on Ship-to companies are used when creating orders. The sales assignments on the Sales Order and the most specific Commission and Rebate will be used to calculate Commissions and Rebates.

Salesmen and Brokers may have multiple commission rules and customers may have multiple rebates for which they qualify. An example would be a Salesman who receives a 5% Commission on sales of any item to any customer and then an additional 2% Commission on sales of specific items, either to a specific customer or to all customers. This arrangement would be handled by two commission rules within Deacom. The calculation of Commissions and Rebates, along with the associated reports, is handled via Sales > Commissions / Rebates. Information on the process can be found on the Calculating Sales Representative Commissions page.

In addition to the ability to split commissions between Sales Reps, Deacom also offers the option to assign multiple 100% commissions. For example, consider the situation in which Sales Rep A receives a 5% commission for cream-based products and Sales Rep B receives a 5% commission for jelly-based products. In this case, the Sales Assignment tab on the Customer will contain two lines, one for Sales Rep A with a percentage of 100% and one for Sales Rep B with a percentage of 100%. When a Sales Order is entered, the system will evaluate the Category for all the items specified on the order to determine which Sales Rep(s) will receive Commissions. Additional information regarding multiple 100% Commissions is available via the Sales Assignments tab within Sales > Customers.

Finally, Commissions and Rebates maintenance in Deacom allows the user to create an almost unlimited number of commission levels. The hierarchy of the commission function allows users to create precise calculations for the individual Sales Rep and/or Broker. Details on this hierarchy is available via the Calculating Sales Representative Commissions page.

System Navigation

Sales > Maintenance > Commissions and Rebates

Edit Commission and Rebate form

Opened via the "New" or "Modify" buttons on the Commissions and Rebates form. Edit Commission and Rebate form buttons

Button	Description
Same As	If clicked, allows the user to select an existing commission rule as a starting point. If a specific Bill-To or Ship-To Company is selected on the form, clicking the "Same As" button will only display commission rules that apply to that specific Bill-To or Ship-To Company.

Button

Description

Same As

If clicked, allows the user to select an existing commission rule as a starting point.

If a specific Bill-To or Ship-To Company is selected on the form, clicking the "Same As" button will only display commission rules that apply to that specific Bill-To or Ship-To Company.

Edit Commission and Rebate form fields

Field/Flag	Description
Description	Optional. Character field used to enter descriptions for commission and rebate rules. This field is available to commissions and rebate reports in the system.
Company Type	Pick list used to define whether a Commission will apply to all customers or a specific customer. Options are: All Bill-to Companies All Ship-to Companies Bill-to Company Ship to Company
Bill-to/Ship-to Company	Displays as "Bill-to Company" when "Company Type" is set to "Bill-to Company" and displays as "Ship-to Company" when "Company Type" is set to "Ship-to Company". Defines the specific customer for which the Commission will apply.
Commission Group	Search field used to select the Commission and Rebate Group for the selected rule.
For	Pick list used to define the type of commissionable person for applying the Commission to, or in the case of Rebates, whether all customers or a specific customer will receive the rebate. Options are: All Bill-to Companies All Brokers All Sales Reps Bill-to Company Broker Facility Sales Rep Sales User 1-5
For	Search field used to select a specific Bill-to Company, Broker, Facility, Sales Rep, or Sales User option to receive the Commission/Rebate, depending on the selection in the above "For" field.
On	Pick list used to define whether the Commission or Rebate will apply to a specific item or a group/category of items. Options include: All Items Category Item Search 1-5 Specific Item Sub-Category Note: Sales order lines are used to determine if a part that is sold will receive a commission, based on the Commissionable flag on the sales order line (or_commable). The default for this field is provided by the Commissionable flag on the Item Master Properties tab but can be overridden by the user. When generating commissions, the system refers to the sales order line Commissionable flag and not the Commissionable flag on the Item Master.
On	Search field used to select a specific Category, Item Search option, Item, or Sub-Category, depending on the selection in the above "On" field.
Item Filter	Text field. Available as long as "On" is not set to "Specific Item". Allows the user to filter items against the Item Master to narrow down results such as for finished goods, starting numbers, etc. Item Filter will apply the logic to any "On" selection except for "Specific Item", and will implement the selection into the filtered results. All fields in the item master (dmprod) table may be used in this field. The system treats the text saved in this field as an SQL 'Where' clause. Example: Consider a commission rule which is set to 'All Items' and in this Item Filter field you have pr_level = 50 AND pr_codenum LIKE '80%', so the only items this applies to are items where pr_level = 50 and pr_codenum starts with 80. If my 'On' is set to 'Category', the item filter would be applied and filter down items within that category. See the Data Dictionary for additional information on the table (dmprod) and fields (pr_level, pr_codenum) used in this example.
Type	Pick list used to define the pricing type on which the Commission or Rebate will be based. Options are: Dollars per Unit Percent of Dollars Percent of Gross Profit Percent of Standard Profit Expression
Expression	Available when selecting a "Type" of Expression. Expressions are evaluated once the calculate commissions and rebates action has been run. A potential use is to calculate Commissions based on user-defined values of Sales Order lines. Fields available to the expression: If c2_comptype = 'All Bill-to Companies' or 'Bill-to Company', dmbill fields and dmbill user fields are available. If c2_comptype = 'All Ship-to Companies', or 'Ship-to Company', dmship fields and dmship user fields are available. If c2_for = 'All Brokers' or 'Broker', dmbrok fields are available. If c2_for = 'All Salesmen' or 'Salesman', dmsman fields are available. If c2_for = 'Facility', dmware fields are available. If c2_on = 'Sub-Category', dmcats2 and dmcats2 user fields are available. If c2_on = 'Category', dmcats, dmcats user fields, dmcats2, and dmcats2 user fields are available. If c2_on = 'Specific Item' or Search 1-5, dmprod, dmprod user fields, dmcats, dmcats user fields, dmcats2, and dmcats2 user fields are available. Sales Order User Calculations are also available.
Factor	The factor used to calculate the Commission or Rebate, generally expressed as a dollar amount or percentage. This file is linked to the "Type" field.
Unit	Search field used to select the Unit of Measure on which a Commission or Rebate will be based. Allows the Commission or Rebate to be based on a different unit than the stock unit of measure for items. For example, customers may sell product by the case with the Sales unit and Pricing unit specified as "Case", but give Rebates to Brokers or customers based on the dollar per pound measure. If this field is not populated, the system will base Commissions/Rebates on the stock unit of measure.
Commission Date	Introduced in version 16.01, this pick list is used to define the point in the sales process at which Commissions are calculated and paid. Options are: Invoiced - Calculates Commissions when the order is invoiced. Ordered - Calculates Commissions based on the "Ordered" date defined on the Dates tab of the Sales Order Paid - Calculates Commissions only when the order is paid in full. Payment Received - Calculates Commissions on partial payments. Shipped - Calculates Commissions based on the date used to ship the order. Notes: Accounting note: The system will gather Commission accruals during payment entry and voiding if this field is set to "Paid" or "Payment Received" and the "Commission Accrual" and "Commission Expense" accounts are set in Accounting > Options > Accounts Receivable tab. The default value for this field is provided by the "Commission Date" field on the Accounts Receivable tab in Accounting > Options. Prior to version 16.01, the Commission Date set in System > Options was used to determine at which point in the sales process Commissions were calculated and paid.
Date Based On	Works in conjunction with the start and end dates on this form and is used to determine which sales order date field to filter on when generating commissions. Options are Created, Shipped, Invoiced, Paid, and any of the five sales user date fields as defined in Sales > Options.
Start Date	Dictates the date this Commission or Rebate takes effect. The selected Commission or Rebate cannot be applied before the selected start date.
End Date	Dictates the date this Commission or Rebate no longer takes effect. The selected Commission or Rebate cannot be applied after the selected end date.
Active	If checked, the selected record is active. Only active records may be used in the system.
Include Freight Cost	Dictates if the cost of freight on the order will be included in the calculation of the selected Commission or Rebate. Set to true by default. There are two different scenarios on how the system will handle the flag being unchecked: When unchecked and calculating Commissions based on percent of total dollars, percent of standard profit, or percent of gross profit, the system will subtract the freight cost times the line quantity from the commissionable amount. This is useful in situations where customers do not wish to have freight costs included in the total revenue calculation on which commissions are based. When unchecked and the "Type" field is set to "Dollars per unit", the system will not include Sales Order line freight costs (or_frtcost) when calculating commissions and rebates. This is useful when "Delivered Pricing" is needed on Sales Orders, such as when a single price for an item should be shown to the customer (e.g. $5/lb), but also when breaking out the additional freight (e.g. $1/lb for freight) from the unit price (e.g. $4/lb) and not having to pay commissions on freight charges is desired.