Purpose
This policy states how commissions are calculated, approved, paid and reversed. It sits alongside the Partner Program Terms and the active compensation plan version.
Qualifying revenue
Commission is calculated on qualifying revenue: subscription revenue actually billed to the customer, net of any customer discount applied, excluding taxes, account credits, refunded amounts and charged-back amounts.
The revenue event types that qualify are set by the active compensation plan and are shown on the Compensation page.
The commission period
The commission clock starts on the customer's start date, not on the Partner's join date. Commission year one runs for twelve months from the customer's start date, year two for the twelve months after that, and so on, up to the maximum direct commission period in the active plan.
Which plan version applies
Each commission records the exact compensation plan and plan version used, and the inputs it was calculated from. Under the default transition policy a customer stays on the plan version in effect on the date they subscribed.
Commission statuses
Pending. Calculated from recorded revenue and awaiting review.
Approved. Reviewed and cleared for payout.
Paid. Included in a completed payout.
Reversed. Cancelled by an adjustment, with a stated reason.
Refunded. Reversed because the underlying revenue was refunded.
Chargeback. Reversed because the underlying payment was charged back.
Reversals
A reversal is a new ledger entry that points at the original. Historical commission records are never edited or deleted. The dashboard shows both the original and the reversal.
Approval and payout
Commissions are reviewed before approval. Approved commissions are paid on the published payout schedule once the Partner's balance clears the payout threshold and any required tax documentation is complete.
Payout threshold, schedule, methods and tax documentation requirements are configured by AI Business Works and shown in the Partner dashboard.
Disputes
A Partner may ask for a written explanation of any commission. The platform stores the plan version, rate, qualifying revenue and full calculation trace for every entry.
Dispute window and escalation process to be completed by counsel.