Odoo 20 Sales Commission: Plans, Setup, Calculation and Payout

Most commission disputes start in a spreadsheet that nobody else can check. Odoo 20 moves the rules into the Sales app, where the numbers come from real orders and invoices. Where your scheme goes beyond the standard plans, our Odoo customization services close the gap.

Related service: Odoo implementation services — CRM-to-cash set up end to end, from lead to invoice.

This guide is for sales managers, finance leads and Odoo admins who need to set up or fix commissions. For the full list of what changed in the app, see our Odoo 20 Sales release notes.

What is new for sales commission in Odoo 20?

Odoo 20 sales commission adds two changes: commission based on the amount the customer paid, and manager commissions that roll up other salespeople's results. Both are labelled Enterprise only.

Payment-based commission uses a new achievement type called "Amount Paid in Full". It adds the invoice amount to the salesperson's achievements once the invoice is paid, dated on the payment reconciliation. Plans can now reward cash collected instead of invoiced amounts.

This closes a known gap. On the Odoo forum, a user asked for commission on paid invoices and was told it is not possible with the new commissions in Odoo 18. In Odoo 20 it is a standard option.

Manager commissions add a "Sum of achievements" field on each salesperson line of a plan. The sales and invoices of the people listed there count toward that salesperson too. Odoo's release note names two uses: managers' commissions and split commissions.

One caution: when we checked, Odoo's 20.0 commissions page still listed only the six older achievement types. Confirm the new options on your own Odoo 20 database before you promise a scheme to the sales team.

How do you set up sales commissions in Odoo 20?

You set up sales commissions in Odoo 20 by enabling the Commissions setting in the Sales app, then creating, filling and approving a commission plan. The steps below follow the Odoo commissions documentation.

1. Enable the feature: go to Sales, Configuration, Settings, find the Invoicing section, tick Commissions and save. A Commissions menu appears.
2. Create a plan: open Commissions, Commission Plans and click New.
3. Choose the basis: set "Based on" to Targets or Achievements, then choose whether the plan runs per salesperson or per sales team.
4. Set dates and frequency: fill the Effective Period and pick a Target Frequency of monthly, quarterly or yearly.
5. Enter targets: on the Targets tab, type a target for each period. For a target plan, also set the On Target Commission.
6. Add achievements: on the Achievements tab, add one or more lines that say what is measured and at what rate.
7. Assign people: on the Sales People tab, add each salesperson. A bulk "Add Multiple Salespersons" button appears only in developer mode.
8. Approve: click Approve to move the plan from Draft to Approved. Odoo then tracks results on its own.

Two details catch teams out. Each plan needs both achievements and targets configured, whatever it is based on. And an approved plan cannot be edited until you reset it to draft.

If you are still shaping your pipeline and quote flow, set those first. Our Odoo CRM guide covers the stages and teams that commission plans depend on.

Target vs achievement plans: which Odoo commission plan fits?

A target Odoo commission plan pays for reaching a set goal, while an achievement plan pays a steady rate on every sale.

Odoo's own example of an achievement plan is a 5% commission on all invoiced amounts.

Which achievements can an Odoo commission plan measure?

An Odoo commission plan can measure amount sold, amount invoiced, quantity sold, quantity invoiced, margin and new MRR, plus amount paid in full in Odoo 20. Each line can cover all products, specific products or a product category.

The MRR type appears only when the Subscriptions app is installed. Our Odoo Subscriptions guide explains how recurring revenue is recorded.

How does Odoo sales commission calculation work?

Odoo sales commission calculation takes the achievements recorded in a period and applies either the achievement rate or the target level reached. The two plan types work in different ways.

In an achievement plan, as an illustrative example, a 5% rate on US$40,000 of invoiced sales in a month gives US$2,000 of commission for that month.

In a target plan, Odoo compares achievements with the period target. The On Target Commission is the payout for reaching 100%. Levels then decide what is paid below and above that point.

Levels can start at 0% and rise in steps. If no level sits above 100%, salespeople cannot earn above the stated commission, so add higher levels to reward overachievement.

Three inputs decide whether the numbers are right:

• Salesperson on the document: achievements follow the salesperson and sales team on the order or invoice, so wrong assignments mean wrong pay.
• Dates: only documents dated inside the plan's effective period and target period count.
• Reconciliation: paid-in-full achievements are dated on the payment reconciliation, so slow bank matching delays commission.

Agree the reconciliation rhythm with finance before you switch to a payment-based plan.

How do manager and team commissions work in Odoo 20?

Manager commissions in Odoo 20 work by listing other salespeople in the "Sum of achievements" field, so their results also count for the manager. Before version 20, the main route was a plan per sales team.

Team plans have a catch that surprises people. In a forum thread on team plans, the accepted answer says commission goes to the users listed on the plan, and the salesperson on the order is not used at all.

Use a salesperson plan to pay each seller on their own orders. Use a team plan, or the Odoo 20 roll-up, to pay a manager on the team's total.

Odoo's Experience session on advanced commission plans also showed store sales measures, adjustments and a team conflict check. We could not confirm these in Odoo's written documentation yet, so test them on a version 20 database before you rely on them.

How do you pay commissions out in Odoo?

You pay commissions out in Odoo through Payroll, using a commission payslip that Odoo calls a warrant payslip. The steps are in Odoo's Payroll commissions documentation.

1. Open Payroll, Payslips, Batches and click Generate Warrant Payslips.
2. Set the period in which the commission was earned and pick the department.
3. Enter the Commission Amount for each employee, or add lines for others.
4. Click Generate Payslips to create the pay run, or Export for a CSV file.
5. Process the pay run like any other batch.

Note that you enter each amount yourself. The commission payout is a finance step, checked against the commission report.

See our Odoo Payroll setup guide for structures, attendance and country rules.

Outside agents are not employees, so they are usually paid on a vendor bill instead.

What are the limits of the Odoo sales commission module?

The Odoo sales commission module handles in-house salespeople on clear rules well, but it has limits around outside agents, per-line rates and team splits. Know them before you commit.

• Internal users: plans are assigned to salespeople who are Odoo users. One forum user noted that not every sales contributor needs full access, and extra users add license cost.
• License cost: on the Odoo pricing page, the US price is US$31.10 per user a month for Standard and US$61.00 for Custom, billed yearly.
• Edition: Odoo labels both Odoo 20 commission changes Enterprise only.
• Per-line rates: for rates that vary on each order line, a forum answer suggests Studio fields and a spreadsheet calculator, not a plan.
• Team breakdown: team plans credit the listed users with the team result; forum replies say no per-member breakdown is produced.

Test credit notes too. The forum checklist for team plans counts posted invoices and credit notes together, so decide in policy how a refund affects commission.

When do Odoo sales commissions need customization?

Odoo sales commissions need customization when your scheme pays people who are not users, splits a deal by percentage, or changes the rate line by line. Start with standard plans and add only what the scheme truly needs.

Small additions, such as an extra field or an approval step, often fit Studio. Rules with calculations belong in a module. Our comparison of Odoo Studio vs custom development shows where the line sits.

Every custom rule must be retested at each upgrade, so keep them few. To size the work, try the Odoo project estimate tool.

Odoo sales commissions by industry

Commission rules differ by industry, so the right Odoo commission plan depends on what you sell and when you get paid. The table shows common patterns.

Agencies have their own twists. Our guide to Odoo for real estate covers agent commissions and co-broker cases in more depth.

How do you test an Odoo commission plan before payroll?

You test an Odoo commission plan by running real past orders through it and comparing the commission report with what you actually paid. Do this before the first payout, not after.

• Replay a closed month: load or pick last month's invoices and compare Odoo's result with the spreadsheet.
• Check every edge: credit notes, discounts, part payments, orders with a changed salesperson, and deals that cross two periods.
• Check the report: the forum answer above places results under Sales, Commissions, Commissions. Make sure each salesperson can read their own lines.
• Write the policy: record the rules Odoo does not enforce, such as clawbacks and disputes.

Commission numbers are only as clean as the orders behind them. Our Odoo lead to invoice workflow guide shows where salesperson and team are set on each document.

Moving from Odoo 19? Existing plans keep their achievement types, and you add the paid-in-full type where needed.

How iVentureTeam helps with Odoo 20 sales commission

iVentureTeam turns your commission policy into Odoo 20 sales commission plans that sales and finance both trust. We have delivered 150+ ERP projects across 35+ countries with 40+ Odoo specialists over 13+ years.

• Policy mapping: we turn your scheme into plan types, achievements, levels and periods, and flag what standard Odoo cannot do.
• Configuration and testing: we build the plans, replay past months and reconcile the results with your payouts.
• Custom rules: outside agents, splits, per-line rates and clawbacks, built as upgrade-safe modules.
• Payout flow: a clear path from the commission report to Payroll or vendor bills, set up with our Odoo implementation services.

Odoo sales commission case study: a grocery retailer's agent network

A multi-channel grocery retailer in India needed commission rules that no standard plan could express, so we built them on Odoo.

The retailer sold through a website, stores and a mobile app, with commission-earning agents driving referrals. Commissions depended on sales targets and the size of each agent's child network, and agent levels had to change without manual recalculation.

We implemented Odoo Sales, CRM, Accounting and Point of Sale as one backend, then built a multi-level channel system. Commissions are calculated from each agent's sales target and child network. Agents who hit the target and grow the network are promoted by the system.

The scheme stays configurable: the retailer defines its own levels, targets and network sizes without developer help. The project ran for 14 weeks. Read the grocery retailer channel commissions case study.

The bottom line on Odoo 20 sales commission

Odoo 20 sales commission is strong enough for most in-house sales teams, and version 20 fixes two real gaps: pay on collected cash and manager roll-ups. Outside agents and per-line rates still need design work.

Start with one plan for one team, replay a closed month, and compare the result with what you paid. Any mismatch shows the rules that need a decision or a custom build.

Ready to set up sales commissions in Odoo 20?

Send us your commission policy and we will show you what standard plans cover and what needs building. Request an Odoo commission plan review, call +91-90235-15208, or email business@iventureteam.com.