Performance-based compensation, usually paid as a percentage of the value of the arranged transaction to an intermediary (e.g., a real estate agent or salesperson).
example
Der Immobilienmakler erhält für den Verkauf des Hauses eine Provision von drei Prozent des Kaufpreises.
The real estate agent receives a commission of three percent of the purchase price for selling the house.
Usage tips
Typical verbs
The person who gets the commission 'erhält' (receives), 'bekommt' (gets), or 'kassiert' (collects) it. The person who pays 'zahlt' (pays) or 'bezahlt' (pays for) the commission.
EXAMPLE
Für jeden Vertragsabschluss erhält der Mitarbeiter eine kleine Provision.
For every contract concluded, the employee receives a small commission.
Fixed expression
The expression 'auf Provisionsbasis arbeiten' means that a person's salary depends mainly or entirely on the commissions they earn.
EXAMPLE
Viele Verkäufer in dieser Branche arbeiten auf reiner Provisionsbasis.
Many salespeople in this industry work purely on a commission basis.
Correct preposition
You receive a commission 'für' (for) a service (e.g., 'für die Vermittlung' — for arranging something). The amount is often given with 'von' (of), e.g., 'eine Provision von 500 Euro' (a commission of 500 euros).
EXAMPLE
Für den erfolgreichen Verkauf des Autos bekam er eine Provision.
He received a commission for the successful sale of the car.
Compare with
synonym · confusable
Provision vs Kommission
commission
'die Kommission' and 'die Provision' can both mean the money someone gets for arranging a business deal. In this sense, they are very similar. 'Provision' is the normal word for this in everyday and professional contexts, for example with real estate agents or salespeople. 'Kommission' can also mean this payment, but it is easily confused with another meaning: an official group of people. That is why 'Provision' is usually clearer when talking about payment for closing a deal.
Provision
Die Maklerin bekommt ihre Provision erst nach dem unterschriebenen Vertrag.
The real estate agent only gets her commission after the contract has been signed.
Kommission
Für den Verkauf des alten Autos erhält der Händler eine Kommission.
The dealer receives a commission for selling the old car.