How Commissions Work

Understand how you earn commissions on sales

1 min read
Updated Jan 06, 2026
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How Commissions Work

Watch Video Tutorial: [VIDEO_PLACEHOLDER]

Understanding how you earn commissions is key to maximizing your affiliate income! Here's everything you need to know.

Commission Basics

What Is a Commission?

A commission is the percentage of a sale that you earn when someone buys through your affiliate link.

Example:

  • Product price: $30
  • Commission rate: 15%
  • Your commission: $4.50

Who Sets the Rate?

Sellers set commission rates for their products. Rates typically range from:

  • 5-10%: Lower margin products
  • 10-15%: Average products
  • 15-20%: High margin or promotional products

When Do You Earn?

You earn a commission when:

  1. Someone clicks your affiliate link
  2. They purchase within 30 days (cookie window)
  3. The order is completed (not cancelled or refunded)
  4. The seller confirms the sale

Commission Lifecycle

Stage 1: Pending (0-7 days)

Status: Order placed, awaiting confirmation Can you withdraw?: No Why pending?: Seller needs time to fulfill and confirm

Stage 2: Approved (After 7 days)

Status: Order confirmed, commission earned Can you withdraw?: Yes (if over $50 minimum) Why approved?: Seller confirmed order, no issues

Stage 3: Paid (After payout)

Status: Commission paid to you Can you withdraw?: Already paid! Why paid?: You've received your money

Special Cases

Refunds and Cancellations

If a buyer requests a refund:

  • Your commission is reversed
  • Deducted from your balance
  • You don't earn on refunded orders

Why: You only earn on completed sales!

Partial Refunds

If buyer returns some items:

  • Commission adjusted proportionally
  • You keep commission on non-refunded items

Example:

  • Buyer orders 3 items ($90 total)
  • Returns 1 item ($30)
  • Your commission: Based on $60 (not $90)

Watch Video Tutorial: [VIDEO_PLACEHOLDER]

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