Sales Commissions AX 2012

How to create a commission calculation.

First, go to the address Sales and marketing>Setup>Commission

Commission Posting Profile

Commission Posting ledger accounts these commissions will post to in Sales and marketing>Setup>Commissions>Commission posting.  Be sure to choose a main account for both the commission and commission offset.

The initial steps will require us to complete the setup for the three bottom groups:

• 1.      Customer groups for commission
• 2.      Item groups
• 3.      Sales groups. 

Let’s start with customer groups for commission.

Clicking on that link will bring up this form below.  This form will determine how you categorize customers that your salesperson(s) can receive commission on. 

The groups and their names are user defined fields, so feel free to be as creative as you want when coming up with these groups.

The commission customer group can be selected in the drop-down field shown below in the Sales order defaults fast tab of the Customer record. 

A commission group must be selected in order for the commission to be calculated on a sales order.

We are going to skip Item groups for a moment and go to the sales group form, which is shown below.  This form offers you the opportunity for more user-defined fields to create your sales groups.  You have the pick from all AX users to help you define your sales groups.

Click the Sales rep. link to open up this form below.  In this form, you determine which users are part of each sales group.  In addition to selecting each user, you can also determine their share of the commission.  Select as little or as many users as you want.

To assign a sales group, go to the customer record and click on the Sales order default fast tab (same place you went for the commission customer group). 

In the sales group field, you can select your commission sales group applicable to this customer.  This step must be completed in order for all the pieces of the commission calculation to function.

 

 

Next, click on Item groups from the location Sales and marketing>Setup>Commissions.

The Item groups form below will allow you to create user-defined fields on groups of items you want your salesperson(s) to earn commission on (very similar to the customer groups).  The only difference is where you assign these groups.

Product Information management>Common>Released Products.  Choose a specific product you would like your team to earn commission on and go to the Sell fast tab on that product.  Under the Administration section you can select the item group that you created previously.  Again, a commission group must be selected in order for the commission to be calculated on a sales order.

Now we have setup all the necessary configurations for commission.

Create a commission calculation

Go to the address Sales and marketing>Setup>Commissions>Commission calculation, it will bring up this form below. 

Using the previous three forms, you can create a number of different commission calculations. 

·         First and foremost, determine which item(s) you would like commission to be earned when that item(s) sells. 

ü  The item code Table will let you select only one item,

ü  Group is allows you to select an item group (which we just created),

ü  All is for all released items. 

·         In the customer code drop down

ü  Table allows you to select an individual customer,

ü  Group allows you to select a commission custom group (previously created),

ü  All is for all customer groups. 

For the Sales rep. code you can only select Group, or a commission sales group (previously created) or All, which would just be all sales rep. groups.

In the Commission based on section

Commission based on determine how the commission is applied given the sales order, factoring in discounts, on revenue or on margin, and the percentage of commission received from a given sales order.  Please note that this is a different form than the commission share in the commission sales groups. 

For example, if you had 10% for the commission percentage on a sales order with revenue of $1,000, the commission would be $100.  That $100 would be split based on the percentages defined by the commission sales group.  So if each sales rep. had a 20% share and there were five sales representatives, they would each earn $20.

In order to view this breakdown on a sales order, click the invoice tab on the specified sales order and then select Invoice Journals, which will open up a new form.  In that new form, select Commission and click Commission transactions.

In the Period section, you can make these calculations date sensitive so that they are only applied within a given time frame.