# Salary vs Commission Logic

## Salary vs Commission Logic

This page explains how Carrier handles salary-only, commission-only, and hybrid (base + %) payroll configurations.

These models are used when inviting or editing users and directly impact payroll reports and earnings breakdowns.

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### Pay Type Models

| Model         | Description                                                           |
| ------------- | --------------------------------------------------------------------- |
| **Salary**    | Fixed amount paid per pay period.                                     |
| **Load %**    | Commission based on the value of loads dispatched by the user.        |
| **Revenue %** | Commission based on company revenue generated by the user.            |
| **Base + %**  | Combination of salary and commission — added together during payroll. |

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### Required Fields

* At least one of the following must be entered per user:
  * Salary (Base)
  * Commission (%)
* If **Base + %** is selected:
  * Both fields are required (Base and %)
* Start Date is mandatory for any payroll activation

> ⚠️ Payroll setup cannot be saved if all fields are empty or if commission values are outside 0–100%.

***

### Logic Examples

#### Example 1: Salary Only

* Accounting Manager with $4,000/month salary
* Reports show fixed $4,000 per cycle

#### Example 2: Commission Only (Load %)

* Dispatcher with 5% of load total
* Each closed load contributes to payroll

#### Example 3: Base + Revenue %

* Manager with $2,000 base + 3% of revenue
* Monthly payroll = $2,000 + total commission from closed invoices

***

### Behavior in UI

* Pay Type selection controls which fields are active.
* Percentage fields auto-format to 0–100% range.
* Base salary supports 2 decimal places.
* Reports display each part of pay separately (Base / Commission / Total).

> ✅ Use this logic to ensure consistency across payroll entries and avoid under- or over-paying team members.


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