Worked example
Illustrative inputs for a hypothetical scenario. These amounts are not observed earnings or a forecast.
Example inputs
- Gross receipts
- 1000
- Refunded receipts
- 100
- Platform commission (%)
- 20
- Processing costs
- 60
- Payout costs
- 10
- Other costs
- 50
- Agency commission (%)
- 20
- Commission basis
- net
- Agency amount on gross
- 200
- Creator remainder on gross
- 400
- Agency amount on net
- 130
- Creator remainder on net
- 470
The net base deducts refunds, platform share, processing and payout costs first. Switching this example to gross changes the agency amount to 200 and the creator remainder to 400; other operating costs stay after the split.
Compare the basis before the rate
See what the same agency commission rate pays when it applies to gross or net receipts. Enter one scenario, then switch the commission basis to compare the results.
The blank worksheet is available as a local CSV. Keep missing figures marked unknown and use synthetic or anonymized notes; it does not calculate or verify earnings for you.
Download the agency agreement checklist CSV worksheet; editable locally. Leave unknown values blank.
What gross and net mean in this tool
| Basis or deduction | Calculator definition |
|---|---|
| Gross basis | Original gross receipts before refunds or other deductions. |
| Net basis | Receipts after refunds, platform share, processing and payout costs; the agency base is floored at zero. |
| Other operating costs | Deducted from the creator’s remainder after the split. |
| Agency amount | Compensation before the agency’s own expenses. |
| Creator remainder | What remains before income tax and unlisted costs. |
Match the inputs to your agreement
Use one currency and accounting period. Enter refunds as reversed sales; the model reverses its platform percentage on them. Enter processing as a total cost and payout costs separately.
These definitions are worksheet assumptions, not a universal definition of net receipts. If the agreement deducts different expenses, allocates chargebacks differently or uses a different period, reproduce those terms in a separate calculation.
Questions to resolve before agreeing a split
- Does commission apply to original sales, retained sales or money actually received?
- Which platform, processing and payout deductions come before the split?
- Who bears refunds, chargebacks and costs arising after the period closes?
- Are staffing and advertising deducted before commission or paid from one party’s share?
- What records establish the amount, and when is it settled?
Continue with: How to evaluate creator earnings claims
Interpret a change in the result
Changing the basis can change both the agency amount and creator remainder even when the rate stays the same. Compare the displayed base first; it explains the difference.
An agency’s compensation is not its profit, and the creator remainder is not the creator’s final after-tax income. Keep unlisted costs visible when comparing an offer with an alternative.