Draw Against Commission Calculator
A draw is an advance, not a salary. Enter your draw, what you earned, and any balance you're carrying — this shows your actual check and where your balance lands.
This month on a draw
Recoverable: shortfalls accumulate as a balance repaid from future commissions. Non-recoverable: each month resets — shortfalls are forgiven, but surpluses first cover the current month's draw.
What a draw really is
A draw guarantees your cash flow, not your income. Each period you're paid at least the draw amount; your earned commissions then repay it. Everything hinges on one word in your agreement:
- Recoverable draw: earn less than the draw and the shortfall becomes a debt against future commissions. Three slow months at a $3,000 draw with $2,000 earned each leaves you $3,000 in the hole — your next good month pays the company back before it pays you. Some agreements even demand repayment if you quit while negative.
- Non-recoverable draw: each period stands alone. Miss the draw and the difference is forgiven; beat it and you keep the surplus. This is effectively a salary floor and is standard during ramp-up periods.
The three questions that matter
- Is it recoverable? If the agreement doesn't say, assume it is — and get the answer in writing.
- What happens to the balance if you leave? Enforceability of negative-balance repayment varies by jurisdiction, but you don't want to discover your state's rule the hard way.
- Is there a review trigger? Many plans quietly terminate reps whose balance passes a threshold. Know the number.
Track the balance yourself
Companies track your draw balance in their payroll system; reps who don't track it independently routinely discover it's larger than they thought. Logging every sale in the Controlla app gives you a running earned-commission figure to hold against the draw each month — see gross vs net commission for what else comes out before the comparison.
Frequently asked questions
What is a draw against commission?
A recurring advance paid regardless of sales, repaid from the commissions you earn. It smooths cash flow in lumpy sales jobs — but a recoverable draw creates a debt when you underperform.
What happens if I don't earn back my draw?
On a recoverable draw, the shortfall carries forward as a balance deducted from future commissions — and some agreements require repayment on leaving. On a non-recoverable draw, the shortfall is forgiven each period.
Is a draw against commission a salary?
No. It looks like one on the paycheck, but it's an advance on commissions you haven't earned yet. A non-recoverable draw behaves closest to a salary floor.
Can a company make me pay back a draw after I quit?
Sometimes — it depends on your agreement's language and your jurisdiction's wage laws. Recoverable-draw agreements with explicit repayment clauses are enforced in many US states, so read before signing.