Commission Plans Offered - STAFF VIEW ONLY
This is a reference guide for anyone to understand the commission plans that are programmed in the systems. This is Staff VIEW only. DO NOT SHARE TO AGENTS
Old Plans (Grandfathered Plans):
1. Fixed
- Agent is on a fixed split, no CAP
- Agents on a fixed split in Stafford/Fredericksburg/ Montclair – don’t pay $200 transaction fee (noted on the profiles)
- If Agent is part of the team and on a fixed split, this means that they are not collecting any commissions.
- Agents that are on monthly desk fees have 100% split
2. Sliding CAP
- Agent is on specified split and will start on a maximum CAP depending on last 12 months (LTM) prior production. Each office is on a different threshold that is the basis of the $ cap.
- The agent sliding the $ cap up and down will be based on the GCI (Gross Commission Income) from the last twelve months (LTM). It doesn’t matter if the agent reached the CAP or not.
- To slide down, you need 2 consecutive years of decline on the agent’s production
- If agent is doesn’t reach cap, agent will not be billed for the difference between cap reached and max cap amount
- Will be charged $395 transaction fee on Sales that are not exempted, $200 on Sales that are exempted (Anywhere leads - Relocation Cartus, AGR, Name Requests)
Office Footprints:
- Inner Office – DC, North Bethesda, Arlington, Fairfax, Reston, Ashburn
- Prince William County Footprint – Montclair
- Outer Offices Footprint – Stafford, Fredericksburg, Frederick and Winchester
Sliding CAP Threshold Guidelines are included in the agent's Commission Rider
3. Elite Plan
- Agents are on lower CAP (normally $17,500) with higher split (usually 50/50) which cause them to reach their CAP sooner
- Agents pay 8% franchise fee on all deals
- Rentals don’t count towards CAP (if an agent already reached the CAP, he/she will still be charged the 70/30 fixed split for rentals)
- $125 Transaction Fee
Current Plans
1. Ascend
- 50/50 for first 3 Sales and Rentals (rental split to decrease to 70/30 when 3 rentals are completed but will still need 3 Sales to graduate).
- 30/70 for Company Generated sales – 50/50 on company generated rentals up until 3 rentals. Once agent closed 3 rentals, the split is charged just like an experienced agent (65/35 Redwood Rentals)
- $495 transaction fee on Sales that are not exempted, $200 on Sales that are exempted
2. CAP
- Agent’s CAP is calculated from the start of the Anniversary date until the end of the Anniversary cycle. For example: January 1 through Dec 31 is a CAP cycle.
- Agent will be charged the % split until he/she reach the maximum $ cap on their agent profile to be at 100% split until the Anniversary resets again.
- Transaction Fee:
- Transaction Fee is $495 for all transactions where the client is permitted to pay an additional fee.
- Transaction Fee is $200 on all transactions where the client is NOT permitted to pay any additional fee(s). Common examples include: Relocation transactions from sources like the Anywhere Leads Network or Listing-sides where the seller is Freddie Mac
- CAP Limit:
- $18,000 CAP: Outer Offices (Stafford, Fredericksburg, Prince William, Frederick, Winchester)
- $24,000 CAP: Inner Offices (DC, N Bethesda, Arlington, Fairfax, Reston, Ashburn)
- Split guide for CAP Programs (Starting split based on the agent’s previous 12 months of AGCI production)
- 65/35: Less than $50,000
- 70/30: $50,001 – $100,000
- 75/25: $100,001 – $150,000
- 80/20: $150,001 and above
- All CAP Programs are taken after 6% Franchise Fee is deducted
3. Fixed Split (Uncapped)
- This is similar to the Fixed commission plan (#1 on the list of the Old Plans) but the difference is the criteria.
- New recruits can be hired at uncapped splits higher than 80/20. This will be considered on a case by case scenario and must have prior approval before committing to recruit.
- All Uncapped Splits are taken after 6% Franchise Fee is deducted
- Transaction Fee:
- Transaction Fee is $495 for all transactions where the client is permitted to pay an additional fee.
- Transaction Fee is $200 on all transactions where the client is NOT permitted to pay any additional fee(s). Common examples include: Relocation transactions from sources like the Anywhere Leads Network or Listing-sides where the seller is Freddie Mac