Enter the base salary ($) and the on-target commission ($) into the On-Target Earnings (OTE) Calculator. The calculator will evaluate the On-Target Earnings (OTE).

## On-Target Earnings (OTE) Formula

The following two example problems outline the steps and information needed to calculate the On-Target Earnings (OTE).

**OTE = BS + OTC**

Variables:

- OTE is the On-Target Earnings (OTE) ($/year)
- BS is the base salary ($)
- OTC is the on-target commission ($)

## How to Calculate On-Target Earnings (OTE)?

The following steps outline how to calculate the On-Target Earnings (OTE).

- First, determine the base salary ($).
- Next, determine the on-target commission ($).
- Next, gather the formula from above = OTE = BS + OTC.
- Finally, calculate the On-Target Earnings (OTE).
- After inserting the variables and calculating the result, check your answer with the calculator above.

**Example Problem : **

Use the following variables as an example problem to test your knowledge.

base salary ($) = 75,000

on-target commission ($) = 40,000

OTE = BS + OTC** **= ?