*Gap samples / Gap 5 - Rewards (admins and finance)*

# How incentives and commissions work in EULER

This is a concept page: read it before you build a program in Program Builder. It explains the two incentive systems EULER runs, how a commission comes out of a charge, and which way a commission flows. It ends with the questions to answer before you configure anything.

**Gap:** 5 of 13 · **Reader:** Admin, partner ops, finance · **Type:** Concept, then checklist

## Why this page needs to exist

The partner side is documented: [Your Incentive Plan and Partner Tier](https://support.eulerapp.com/en/c/partner-journey/getting-paid/your-incentive-plan-and-partner-tier). The admin side is not. eulerhq.com lists revenue share, flat fees, per-product rates, tiers, SPIFFs, MDF and gift cards, and the MCP reference shows that a company runs one of two incentive systems, called 1.0 and 2.0, which count and calculate differently. No help article names either.

---

*Sample documentation starts here*

## The model in one paragraph

A **charge** is revenue on a deal, usually read from your billing integration. An **incentive** attached to the partner says what share of that charge they earn. The result is the charge's **commission to be paid**. Pending payouts queue for approval (see [Approving Invoices](https://support.eulerapp.com/en/c/invoices/invoices-v2/approving-invoices)), then go out through [EULER Pay](https://support.eulerapp.com/en/c/invoices/euler-pay/enrolling-in-euler-pay-customer), a gift card, your accounting system, or an exported file. The partner sees earned, pending and paid amounts in their portal.

## Your company runs one of two systems

|  | Incentives 1.0: tier packages | Incentives 2.0: programs |
| --- | --- | --- |
| **Unit** | A tier package | A program, made of tiers |
| **Rate depends on** | Revenue ranges: each has a minimum, maximum, commission %, flat payout and net days | One row per product group, revenue range and time period, so a partner can hold several rates at once |
| **Payment terms** | Payout frequency and net days after payment, on the package | **[VALIDATE]** |
| **Extras** | None listed | Tier benefits, boost or override campaigns |
| **Moving up** | By revenue range | Advancement rules per tier, with a goal and live progress for each |
| **"Partners per tier" counts** | Distinct partners on each package | Active assignments on each tier |

A company runs exactly one system. Check which one before you read any other incentives guide, because the counts and the setup differ.

## Worked example

Fictional numbers, to show the arithmetic only. A partner on a 10% revenue-share line closes a deal billed at $20,000.

**EXAMPLE - ONE CHARGE, ONE COMMISSION**

```
Charge amount            20,000.00 USD   (from billing)
Commission rate          10%             (partner's incentive line)
Commission to be paid     2,000.00 USD   = 20,000 x 0.10

Charge type: Referral    the partner sent you the deal,
                         so you owe the partner.
```

With Incentives 2.0, the same partner can hold a second line for another product group, so two charges on one deal can carry two rates. Read each charge's own rate. Never apply one percentage to a whole deal.

## Which way a commission flows

| Charge type | Who sent the deal | Who owes the commission |
| --- | --- | --- |
| Referral | The partner, to you | You owe the partner |
| Reseller | The partner, to you | You owe the partner |
| Outbound | You, to the partner | The partner owes you |

## What wrong looks like

**WRONG - COMMISSION REPORT**

```
"Total commissions this quarter: 48,300 USD"
(sum of every charge's commission, all charge types,
 across two currencies)

Why it fails: Outbound commissions are owed TO you, so
adding them to Referral and Reseller commissions mixes
money in with money out. And amounts in two currencies
cannot be added. Report each direction separately, in
each currency.
```

## Before you build a program

- You know whether your company runs Incentives 1.0 or 2.0.
- Your billing integration is connected, so commissions calculate on billed revenue rather than retyped amounts.
- Each partner type has its own structure written down: rate, what it applies to, and the period.
- Tier rules are written as goals a partner can see, not as judgments made at review time.
- You have chosen a payout route and who approves pending payouts.

## Confirm with engineering

1. An account's incentive system (1.0 or 2.0) is shown at [location], and moving between them is done by [team / process]. Correct me.
2. In 1.0, the revenue range is measured against [cumulative / per-period] revenue, and the whole amount is paid at the range's rate. Yes / no / correct me.
3. In 2.0, a boost campaign [adds to / replaces] the tier rate for its period. Correct me.
4. Commission is calculated when [the deal closes / the charge is recorded / the invoice is paid]. Correct me.
5. Program Builder is at [menu path]. Correct me.

### Related documentation

- [Your Incentive Plan and Partner Tier](https://support.eulerapp.com/en/c/partner-journey/getting-paid/your-incentive-plan-and-partner-tier) (partner view)
- [Getting Paid: Commissions, Transactions and Invoices](https://support.eulerapp.com/en/c/partner-journey/getting-paid/getting-paid-commissions-transactions-and-invoices)
- [Invoice Generation](https://support.eulerapp.com/en/c/invoices/invoices-v2/invoice-generation), [Approving Invoices](https://support.eulerapp.com/en/c/invoices/invoices-v2/approving-invoices), [Send a SPIFF](https://support.eulerapp.com/en/c/invoices/invoices-v2/send-a-spiff)
- [Enrolling in Euler Pay](https://support.eulerapp.com/en/c/invoices/euler-pay/enrolling-in-euler-pay-customer), [EULER Pay Fees Explained](https://support.eulerapp.com/en/c/invoices/euler-pay/euler-pay-fees-explained), [Bulk Actions, 1099s & KYC](https://support.eulerapp.com/en/c/invoices/euler-pay/euler-pay-bulk-actions-1099s-kyc)
- [Charges API](https://support.eulerapp.com/en/c/api/charges) and [Charge Bulk Upload](https://support.eulerapp.com/en/c/api/charge-bulk-upload)
- [Reviewing Incentive Programs, Tiers and Commission Payouts (MCP)](https://support.eulerapp.com/en/c/euler-mcp-customers/incentives)
- [Reward on eulerhq.com](https://eulerhq.com/lifecycle/reward)

### Sources for this page

- eulerhq.com/lifecycle/reward: incentive structures, billing integration, bulk approval of pending payouts, four payout routes, partner view.
- MCP connector reference: incentives\_summary, partner\_inc1\_incentives, partner\_inc2\_incentives (1.0 and 2.0 structure, one system per company); commissions (charge\_type directions, currencies never added).

### Next

- Gap 6: [MDF and CIF funds](07-funds.md). The other way money reaches partners.
- Gap 10: [Reseller and AWS Marketplace](11-marketplace.md). Where reseller tiers and rebates fit.

---

*Independent writing sample by Bachtiar Widyantoro (bachwidy.site), November 2026. Not published or endorsed by EULER. Free to reuse and edit. Customer names in examples are fictional. Anything marked [VALIDATE ...] or [CONFIRM ...] is not settled by a public source and needs checking before publishing.*