Keller Williams Commission Split

okay so you're thinking about joining Keller Williams and you're wondering how the Commission split works my name is Matt Jones I'm in Pensacola Florida and I'm gonna break down for you how commit the Commission split works with Keller Williams the market center number I'm going to show you could be different if you're outside of the Pensacola area but everything else should pretty well work the same because it's a really print transparent company and they kind of keep things the same across the board which is great to illustrate to you how the Commission split works I thought we would work with some real numbers so let's take a $5,000 permission for a for example and see what you would actually take home and what goes where so I'm going to put 5,000 at the top because that is your commission check you'll also hear it called GCI or gross Commission income so that's the total amount paid at title to your broker okay out of that you're gonna pay your Market Center 30% 30% in this example is $1,500 now you're gonna pay a royalty which is Keller Williams International you're gonna pay a royalty of six percent which in this example is three hundred dollars that leaves you with $3,200 of course you'd rather have the five thousand but when you're just getting started and you haven't paid in your cap yet you're gonna actually come out with 3200 now this is not unlike what I paid in when I worked for another big-name brokerage here in town in fact the split is exactly the same now at that company when I got to three million dollars in sales they offered to bump me to 75 percent instead of 70% you know in my portion so here at 70/30 then we're going to go to 75 25 and 3 million dollars well by the time I hit 3 million dollars in sales and Keller Williams I'm gonna get to keep the big number because I will the capped my actual split here based on my sales for this year so far is 90 percent or just a little bit over so I keep 90 they keep 10 in this case you know on average I'm keeping about $4,500 per check so what is a cap well a cap is the highest amount you can pay it once you hit that amount you will pay no more in fact if you accidentally over pay it on a commission check you will get it back you'll get back the overages so the market Center which is the portion that takes 30% the market center cap is $18,000 by the time you get to about two and a half million dollars in sales you will have paid in $18,000 to the market Center you'll keep 100% of your commissions from there until you're in until the it resets the next year same thing for the royalty by the time you get to two and a half million you're going to have paid in approximately your royalty cap which is three thousand dollars so no matter how much you earn in gross Commission income you will pay no more than $21,000 together waves now the great thing about that is not only that you have a cap but out of this 21,000 a portion of that is spent to run the market center portion of it goes to the owners and a portion of it comes back to the agents as profit fair if you're not familiar with the profit share system go to real term at JS / profit share to check that out I hope this has been helpful is how your basic Keller Williams Commission split works thanks

Channel: Matt Jones - Pensacola Realtor

Views: 36,413

Keywords: matt jones pensacola, pensacola realtor, pensacola real estate agent, real estate agents Pensacola FL, real estate for sale Pensacola FL, Top Pensacola Realtors, Pensacola FL real estate, new homes for sale Pensacola

Id: Rj5c0OFZ0_0

Length: 4min 5sec (245 seconds)

Published: Tue Oct 15 2019