NAV-X Commissions Setup

If you do not have a tenant for Microsoft Dynamics 365 Business Central, you can sign up for it conveniently at https://trials.dynamics.com/Dynamics365/SignUp/businesscentral.

Once you have completed the sign up and your tenant is up and running, you can add the NAV-X Commissions app from the AppSource marketplace here. If you have questions about the installation process of an app through Microsoft AppSource, you can review the Microsoft Dynamics 365 Business Central documentation here.

You can configure the initial setup using the Assisted Setup or the Manual Setup as described below. You can also always make changes to the setups accessing this setup page. To start the manual setup, you can select Setup & Extensions, Manual Setup from the home screen.

Please then select the row for “NAV-X Commission Setup”.

General

The General fast tab allows the setup of system wide settings. Each of the settings is described below.

Enable Commission

Activates the NAV-X Commissions functionality. You can setup everything and leave this check mark off until you are ready for processing and then activate this field.

Calculate Commissions on

You can select the basis for the commission calculations. Depending on the value that you select here, the commission rates will be applied to different base amounts. You can define defaults here and then also override this setup on each salesperson.

  • Gross Profit – Commissions are calculated on the difference between Sales Amount and Cost. 

  • Sales – Commissions are calculated on the sales amount

  • Quantity – The commissions are calculated based on the quantity that is sold. This is primarily important for royalty payments.

Commission Effective Date

  • Date Entered – The work date   the sales transaction is entered

  • Order Date – The date the order was placed. This is the “Order Date” on the sales documents  

  • Shipment Date – The date the order will be shipped. This is based on the “Shipment Date” field on the sales document.

  • Invoice Date – The date the document will be posted. This is based on the “Posting Date” field on the sales document.

Commission Payable On

You can define different settings based on when commissions become payable to the salespeople.

  • Order Entry – As soon as an order is entered, the commissions become payable.  

  • Shipment – When the shipment is posted, the shipped portal of the order will have payable commissions.  

  • Invoice – When the invoice is posted, the amount that is invoiced becomes payable commissions.  

  • Cash Receipt– When the customer pays, commissions become payable. This will also include partially paid invoices and will then make a percentage of the commissions payable (base on the percentage paid).  

Auto. Commission Post to G/L

Defines, if you want the system to accrue commissions in general ledger accounts. If you activate “Automatic Commission Posting to G/L”, the system will post the commissions against liability and expense accounts when they are created and paid. If you disable this setting, you can still run a processing report at month’s end that will post the commission transactions to the G/L.

Use only most specific Commission Rates

By selecting “Use only most specific Commission Rates”, you can define different rates on different levels of the hierarchy. The system will always use the most specific rate setup when retrieving the commission rates.

Prevent Negative Commissions

By default, commissions are calculated on positive and negative lines on a sales transaction, which means that a specific sales transaction could turn into a negative total commission or a commission claw back. If you want to not claw back commissions from your salespeople in this scenario, place a check mark in this field. Whenever credit memos are processed, those credit memos result in negative commissions. This field does not affect the commission calculation for credit memos.

Prevent Negative Total Commissions

If a salesperson sold less during a period than the credit memos processed for this salesperson’s customers, the commission amount could be negative at the end of the period. If you do not want to claw back commissions from your salespeople in this scenario, you can activate the field.

Create Zero Amount Ledger Entries

If you want to use tiered or “Hockey Stick” commissions, you will have to activate the check mark in this field. This will create commission ledger entries, even if a salesperson does not receive a commission for a specific sale, but is involved in the sale. This then will be counted towards the total sales amount in a given period.

Filter Criteria

The Filter Criteria fast tab enables you to customize what the system considers a “commissionable document”.

Min. Comm. Gross Profit %

When an authorization is performed for an order and the order is shipped partially, the credit card is charged for the partial amount. If a charge is processed against an authorization, the remaining amount on the authorization is automatically cancelled. If this setup is checked, a new authorization is automatically created at the time of partially invoicing the order.

Process only fully paid invoices

This is only available when “Commission Payable on” = “Cash Receipt”. Only fully paid invoices will make commissions payable.

Exclude Past Due Invoices

This is only available when “Commission Payable on” = “Cash Receipt”. If an invoice is paid late, the invoice will not produce commissions, even if it is paid eventually.

Exclude Customers with Past Due Balance

This is only available when “Commission Payable on” = “Cash Receipt”. When a customer has an invoice that is past due, no commission will be paid for this customer. It will be paid when no invoices are past due anymore.

Exclude Customers with Past Due for

This is only available when “Commission Payable on” = “Cash Receipt”. When customers with past due invoices should be excluded, this allows adding a grace period. For instance, “only exclude customers that have a past due invoice that is more than 90 days past due”.

Exclude Customers if Past Due more than (%)

This is only available when “Commission Payable on” = “Cash Receipt”. Customers with past due invoices will only be excluded, if the amount past due is greater than a percentage of the full outstanding amount.

Exclude Credit Memos from Commissions

This is only available when “Commission Payable on” = “Cash Receipt”. Customers with past due invoices will only be excluded, if the amount past due is greater than a percentage of the full outstanding amount.

Sales Growth Period

NAV-X Commissions has the ability to define commission rates based on the growth of sales over time. To define the period length that is used to calculate the sales growth over the different periods, you can define in this field the Sales Growth Period as Day, Week, Month, Quarter, or Year.

Initial Rate per Campaign

This is only available when “Commission Payable on” = “Cash Receipt”. Customers with past due invoices will only be excluded, if the amount past due is greater than a percentage of the full outstanding amount.

Initial Rate per Ship-to

This is only available when “Commission Payable on” = “Cash Receipt”. Customers with past due invoices will only be excluded, if the amount past due is greater than a percentage of the full outstanding amount.

Initial Rate per Salesperson

This is only available when “Commission Payable on” = “Cash Receipt”. Customers with past due invoices will only be excluded, if the amount past due is greater than a percentage of the full outstanding amount.

Initial Rate per Entity

This is only available when “Commission Payable on” = “Cash Receipt”. Customers with past due invoices will only be excluded, if the amount past due is greater than a percentage of the full outstanding amount.

Reporting

The Reporting fast tab enables you to enable automatic emailing of commission reports to your salespeople.

New Email  Body Report Name

A Standard Report is defined that will be used to create the email body that is sent to your salespeople. You can create your own report to include additional information or you can update the layout and define it in the next field

New Email  Body Layout Name

If no layout is defined, the default layout of the report defined above is used. The layout defines the actual content of the email body that is sent to your salespeople.

Process By

With the date formula, you can define when the reports should be sent out. The default formula defined will send the emails on the last day of each month. You can find more details about how to define date formulas here.

  • Salesperson: No detail is going to be sent. Only one line per salesperson is going to be displayed.

  • Document: One line per document will be displayed on the report, showing totals per document.

  • Detail: Full Details will be shown on the report. A line per line will be displayed with detailed commission information.

Print Zero Commission Lines

The report can display year to date information about accumulated commission amounts. With this field, you can define what date is used to summarize the commission amounts.

Aged by

The report can display year to date information about accumulated commission amounts. With this field, you can define what date is used to summarize the commission amounts.

  • Commission Date: The commission date is the posting date of a commission ledger entry.

  • Date Payable: The date a commission is payable depends on the setup when commissions become payable.

  • Effective Date: The effective date is defined based on the commission setup.

Features

The Features fast tab enables you to disable features that you are not using to show a simplified user interface.

Commissions by Campaigns

You can define different commission rates per sales campaigns that you are running. Only when this campaign is defined on the document, the rate is calculated from the specific rates defined for this campaign. If you do not anticipate using this feature, please make sure that this is not checked.

Commissions by Managers

You can define commission calculations for sales managers that receive commission payments based on the performance of their team. You can define different commission rates per sales campaigns that you are running. Only when this campaign is defined on the document, the rate is calculated from the specific rates defined for this campaign. If you do not anticipate using this feature, please make sure that this is not checked.

Different Commissions for overdue Documents

You can define that commissions are reduced for overdue invoices. If a customer does not pay an outstanding invoice on time, you can define different percentages to define how much the commissions are reduced based on the days overdue. If you do not anticipate using this feature, please make sure that this is not checked.

Different Commissions by Dimensions

You can define different commission rates based on the dimension values for global dimensions 1 and 2. If you do not anticipate using this feature, please make sure that this is not checked.

Use Maximum Commission limits

You can define maximum amounts that will be paid as commission per period. This can limit the commission a salesperson can receive per period based on different filter criteria. If you do not anticipate using this feature, please make sure that this is not checked.

Actions

Process > Auto-Assign Salespeople

When initially setting up NAV-X Commissions, you most likely have already salespeople assigned to your customers. NAV-X Commissions allows the definition of an unlimited amount of salespeople responsible for a customer. Therefore, this functionality is provided for you to be able to use the existing salesperson assignment as the default salesperson for your existing customers. A salesperson commission split is defined for each customer with the salesperson defined in the “Salesperson Code” on the Customer Card. The split percentage is defined as 100 %.

Help > Online Help

You can access this online help for NAV-X Commissions directly from within Business Central.

Help > Start Product Tour

NAV-X Commissions includes a product tour that can be used in your sandbox environment to walk your through some of the features of NAV-X Commissions. you can start the product tour from here. You can also find more information about the Product Tour here.