Tax / Commission Fee

Harry Ashton
Preview of Tax / Commission FeePreview of Tax / Commission Fee

About this model

Players use an asset (e.g. item) owned by another player. Any time that asset is used to earn, a percentage of the earnings are sent to the owner.

This diagram models a revenue distribution system where earnings are initially generated by a source and then split between two types of recipients: users and property owners. The system begins with an earnings source which feeds into a distribution gate. From there, earnings are allocated to two pools – one for user earnings and another for property owner earnings. Initially, 100% of resources flow into the user earnings pool, with the property owner earnings pool receiving 0%.

A register node labeled "Commission Fee" in the system influences the distribution of earnings between the two pools by adjusting the percentages of the resource flow towards each pool. With the use of state connections, the system is designed to modify the resource flow based on the commission fee, specifically by incrementally increasing the percentage of resources allocated to the property owner by 1% (as indicated by the state connection formula "+1%"), while concurrently decreasing the allocation to the user earnings by 1% (as indicated by the state connection formula "-1%"). This dynamic allocation mechanism allows for a flexible redistribution of resources based on the commission fee setting, which is a critical feature for modeling financial transactions or revenue splitting systems with variable commission rates.

This public Machinations diagram, “Tax / Commission Fee”, was shared in the Machinations Community by Harry Ashton.

You can open the original diagram in the Machinations app, press Play to watch how resources move through it, and change its values to see how the system responds. Machinations is a visual tool for designing, simulating and balancing game economies and other systems, where resources flow through sources, pools, drains, converters and gates. In a diagram, a source creates resources, a pool stores them, a drain removes them, a converter changes one resource into another and a gate decides where they go next.