Commissions
Partner commissions refer to the revenue generated from processing payments with . Merchant fees eligible for commissions, along with the partner’s buy-rates and revenue share percentage, are outlined in the Partner’s Payment Processing Agreement.
Overview
Commission reports
- Recipients: Reports are emailed to the partner's primary commissions contact.
- Frequency: Reports are sent before the commission payout.
- Format: Reports are shared as Excel files.
Commission payouts
- Schedule: Commissions are paid on the last day of the month following the month of payment processing activity. For instance, commissions for activity in April are paid on May 31.
- Method: Commissions are sent via ACH to the bank account provided during onboarding.
Calculating commissions
The commission equation for each fee type is:
partner commission = (merchant revenue - partner cost) * partner revenue share
If the merchant's revenue is less than the partner's cost, the partner is responsible for the full difference. For instance, if the merchant's revenue is $100 and the partner's cost is $150, the partner is responsible for the $50 difference.
Key Terms
| TERM | DEFINITION |
|---|---|
| Partner buy-rate | The partner’s cost structure as defined in the Schedule A. Also known as a partner fee schedule. |
| Merchant pricing | The merchant’s cost structure as defined in the merchant application and Dashboard. Also known as a merchant fee schedule. |
| Partner cost | The total cost incurred by the partner, calculated using their buy-rate. |
| Merchant revenue | The total revenue generated off the merchant, calculated using their pricing. Also known as the gross revenue. |
| Revenue share | The portion of net revenue (merchant revenue minus partner cost) distributed to the partner. |
Commission Report v2
is introducing a new commission report that uses automated calculations to eliminate manual errors and provide more detailed insights.
Report structure
Partner Summary
The Partner Summary tab provides an overview of your commission activity, broken down by payment method, including: gross processing volume, merchant and transaction count, total revenue, total costs, and net commissions paid.
Merchant Summary
The Merchant Summary tab details the revenue, costs, and net commissions by merchant. This view can be filtered by currency, payment method, card brand, fee source, and fee type. This is a flexible, pivot table view where you can adjust filters and columns as needed.
Details
The Details tab includes all underlying inputs used for commission calculations, including fee information, merchant pricing, and your buy-rates. You can easily audit this data as needed.
Glossary
The Glossary tab defines every field seen throughout the report.