Worked example
An SDR with a $3,000 monthly variable target and a 20-meeting goal holds 24 meetings at $150 each, sources $200,000 of pipeline paid at 0.5%, with a cap at 150% of target.
| Input | Value |
|---|---|
| Monthly variable target | $3,000.00 |
| Meetings target | 20 |
| Paid per | Meeting held |
| Payout per meeting or opportunity | $150.00 |
| Cap (% of variable target) | 150% |
| Meetings held | 24 |
| Qualified opportunities | 10 |
| Sourced pipeline or closed-won amount | $200,000.00 |
| Rate on that amount | 0.5% |
| Result | Value |
|---|---|
| Variable earned | $4,500.00 |
| Meetings attainment | 120% |
| Payout vs variable target | 150% |
| Effective payout per meeting | $187.50 |
| Earned before cap | $4,600.00 |
| Removed by the cap | $100.00 |
- Meetings held × payout per meeting: $3,600.00
- + Amount × rate: $1,000.00
- = Earned before cap: $4,600.00
- Cap: cap % × variable target: $4,500.00
- = Variable earned: $4,500.00
How the payout is calculated
Activity pay = meetings held (or qualified opportunities) × payout per unit
Pipeline pay = sourced pipeline or closed-won amount × rate
Variable earned = min(activity pay + pipeline pay, cap % × variable target)
Effective payout per meeting = variable earned ÷ meetings held
A common way to set the per-meeting payout is to divide the variable target by the meetings target, so that hitting the goal pays exactly the target. This calculator does not assume that: enter the payout your plan actually uses and compare payout vs variable target with meetings attainment to see whether they line up.
Meetings, opportunities or pipeline?
- Meetings held reward volume and are easy to verify, but say little about quality.
- Qualified opportunities move the trigger closer to revenue, at the cost of depending on an account executive accepting the opportunity.
- Sourced pipeline or closed-won ties pay to value, but timing and attribution become the main source of disputes.
Many plans blend an activity measure with a small revenue component, which is what the optional pipeline fields model. For a cap on the whole plan, see the commission cap calculator; for account executive commission, the sales commission calculator.
Limitations
- One month at a time; quarterly true-ups and rollovers are not modeled.
- Clawbacks for meetings that no-show or opportunities later disqualified are not applied.
- We do not publish benchmark SDR payouts or meeting targets. Estimates only, not payroll advice.
Frequently asked questions
How are SDRs paid commission?
Usually through a variable component paid per meeting held or per qualified opportunity, sometimes combined with a percentage of the pipeline or revenue they sourced. The base salary is paid separately.
What is the effective payout per meeting?
It is the total variable earned divided by meetings held. When part of the pay comes from pipeline or a cap applies, it differs from the stated per-meeting rate.
Should an SDR plan be capped?
That is a design choice. A cap limits cost when a rep books far more meetings than planned, but it also removes the incentive to keep going once it is reached.
Can I use this for BDRs?
Yes. The math is the same whether the role is called SDR, BDR or appointment setter.