Commissions (whether based on a percentage of total sales or of
sales in excess of a specified amount, or on some other formula) are
payments for hours worked and must be included in the regular rate. This
is true regardless of whether the commission is the sole source of the
employee's compensation or is paid in addition to a guaranteed salary or
hourly rate, or on some other basis, and regardless of the method,
frequency, or regularity of computing, allocating and paying the
commission. It does not matter whether the commission earnings are
computed daily, weekly, biweekly, semimonthly, monthly, or at some other
interval. The fact that the commission is paid on a basis other than
weekly, and that payment is delayed for a time past the employee's
normal pay day or pay period, does not excuse the employer from
including this payment in the employee's regular rate.
[36 FR 4981, Mar. 16, 1971]
