Service Titan Knowledge Base

Configure your account for marginal range bonuses (scaffolded bonuses)Last updated on 03/22/2022


How range bonus calculations will change when you enable marginal range bonuses:

For example, if you apply a 5% range bonus for sales between $0 to $500, and a 7% range bonus for sales between $501 to $1000, the 5% bonus will always be applied to the first $500, and the 7% bonus will be applied only to the amount that exceeds $501 up to $1000.

Sample Calculation:

If you apply a 5% range bonus for sales between $0 to $500, and a 7% range bonus for sales between $501 to $1000, the 5% bonus will always be applied to the first $500. The 7% bonus will be applied for the remaining amount that exceeds $501 to $1000.

In this case, the range bonus for $600 in sales would be calculated as follows: ($500 * 5%) + [($600-$500) * 7%) = $32.

In the above example, if you add a range bonus of 10% for sales between $1001 to $2000, the range bonus for $1500 in sales would be calculated as follows: ($500 * 5%) + [($1000 - $500) * 7%] + [($1500-$1000) * 10%] = $110.


Changes to the Payroll (Detail) Report:

When this feature is configured for your account, you will see some changes to the Payroll (Detail) Report.

  • Range bonuses will no longer be applied to individual invoices. This means that marginal range bonuses will not be reflected in the Invoices section of the Payroll (Detail) Report. This is for cleaner reporting, since marginal range bonuses are dependent on totals for the pay period.

  • The lowest range bonus percentage will be applied to commission-based payroll adjustments, unless the adjustment amount exceeds the lowest range bonus level. Click here for more information on commission-based payroll adjustments.


Where to find marginal range bonuses on the Payroll (Detail) Report:

You will see the marginal range bonuses applied in the Totals section only. Marginal range bonuses are applied in Net Commission and Total Gross Pay.



Important note: Some features may not be currently included in your account and additional configuration may be required. Please contact technical support for details.