Master the terminology behind the metrics. A comprehensive dictionary of terms used across our business and HR calculator suite.
The average annual return of an investment over a specific period of time. It allows you to compare the performance of investments held for different lengths of time.
Use the Annualized ROI CalculatorThe direct costs of producing the goods sold by a company. This includes the cost of the materials and labor directly used to create the good.
Use the COGS (Cost of Goods Sold) CalculatorA form of variable compensation paid to sales employees based on the amount of sales they generate. It can be a flat rate, a percentage, or tiered.
Use the Commission CalculatorAmounts taken out of an employee's gross pay for taxes, insurance premiums, retirement contributions, and other benefits.
Use the Deductions CalculatorThe average rate at which an individual or corporation is taxed on earned income, calculated by dividing total tax paid by total taxable income.
Use the Effective Tax Rate CalculatorA U.S. federal payroll tax that funds Social Security and Medicare programs. Both employees and employers contribute to FICA.
Use the FICA (Federal Insurance Contributions Act) CalculatorA federal tax paid by employers to fund state unemployment agencies and the federal government's oversight of unemployment programs.
Use the FUTA (Federal Unemployment Tax Act) CalculatorA company's net sales revenue minus its cost of goods sold (COGS). It represents the percentage of total sales revenue that the company retains after incurring the direct costs.
Use the Gross Margin CalculatorThe total amount of money an employee earns before any taxes or other deductions are taken out of their paycheck.
Use the Gross Pay CalculatorThe difference between the cost of a good or service and its selling price. It is typically expressed as a percentage above the cost.
Use the Markup CalculatorThe amount of money an employee actually receives in their paycheck after all taxes and deductions have been subtracted from their gross pay.
Use the Net Pay (Take-Home Pay) CalculatorTime worked beyond one's regular working hours. In the U.S., FLSA rules typically require pay at 1.5 times the regular rate for hours over 40 per week.
Use the Overtime CalculatorA Latin term meaning "in proportion." In payroll, it refers to calculating a portion of a salary for an employee who starts mid-period or works part-time.
Use the Pro Rata CalculatorA measure of profitability. It is calculated by finding the net profit as a percentage of the revenue.
Use the Profit Margin CalculatorA fixed share of something that a person or group is entitled to receive or is bound to contribute. In sales, it is the performance goal for a sales representative.
Use the Quota CalculatorA performance measure used to evaluate the efficiency or profitability of an investment or compare the efficiency of several different investments.
Use the ROI (Return on Investment) CalculatorA state-level payroll tax paid by employers to fund unemployment benefits for workers who have lost their jobs.
Use the SUTA (State Unemployment Tax Act) CalculatorThe range of incomes taxed at a particular rate, which established the marginal tax rate an individual pays.
Use the Tax Bracket CalculatorA commission structure where the percentage paid to a salesperson increases as they reach higher levels of sales volume.
Use the Tiered Commission CalculatorAn IRS form completed by an employee in the U.S. to indicate their tax situation to the employer. It determines the amount of federal income tax to withhold.
Use the W-4 Form CalculatorOur calculators aren't just tools; they're educational resources. If there's a term you'd like us to explain, or a new tool you need, let us know.