Associate Record: Commission Tab

Commission Split %

Enter the current integer figure for the associate’s side of the Commission Split. (e.g., 70 for a 70/30 associate; 60 for a 60/40 associate; 100 for a 100 percent owner/broker, 100 percent Associate, or non-licensed Market Center office staff).

Base Commission Split %

Enter the base figure for the associate’s side of the Commission Split at the beginning of their Anniversary Year. This is used as a reference field if the Commission Split field is changed.

Company $ CAP

Enter the Market Center Company Dollar Cap that this associate pays to your Market Center before switching to 100 percent (%).

NOTE: If your OP or TL want you to enter an associate under cap management, initially enter “0.00” in this field. On the first day of the month in which your OP or TL have placed their cap, this field will automatically update to the market center cap and begin assessing Company $ as scheduled.

CAP Defaults

In the event an associate has a cap that is different from the Market Center standard, enter that cap amount here. The royalty default field is entered in as GCI base for royalty.  

Examples of using the new field:

1)    You have a husband and wife team in your Market Center that split the cap 50/50 at the beginning of the year. Throughout the year, as they close transactions, you may change the amounts. By entering half of your company cap standard and half of the royalty base ($1500) into the Cap Default fields, on the anniversary date the caps will reset from the amounts in the Company $ CAP and Royalty Base CAP fields to the defined amount in the CAP default fields. If no amount is entered into the CAP default fields both associates would have their caps set back to the full Market Center standard amount.

2)    Team Rainmakers (pre-profit share market centers only) – If you stack the cap for a team under the rainmaker then you would enter the amount of the full team cap for both Royalty and Company Dollar in the default fields. NOTE: this process circumvents the profit share and royalty systems and has been discontinued.

NOTE: At the beginning of each month, when you print your Royalty Exceptions Report, WinMORE automatically resets the Company Dollar CAP fields and Royalty Base CAP fields for those associates that are starting a new Anniversary Year.  If no amount is entered into the CAP Default fields, WinMORE will reset the caps back to the full Market Center standard amount.

Royalty Split %

Enter the percentage of the 6 percent Franchise Royalty paid by the associate.

Royalty Base CAP

Enter the amount of GCI being charged with Royalty.

Franchise vs. Agent Royalty

According to the Franchise Agreement, KWRI is paid royalty on the first $50,000 (or whatever amount is stated in your Market Center’s franchise documents) paid in Gross Commission Income for each licensed associate in your Market Center.

Some Market Centers pay the full 6 percent (%) or a portion of the 6 percent (%) royalty for the associates. This is called Franchise Royalty. In most Market Centers, the 6 percent (%) royalty is paid in full by the associates. Any royalty amount paid by the associates is considered Agent Royalty.

Franchise Royalty is assessed for each associate separately; except in the case of couples filing joint federal tax income returns. Couples filing jointly share one Royalty Cap. Couples filing separately do not.

Special Note on Couples Sharing One Cap:

There are three approved options for married couples sharing one cap.

WinMORE has to be set up differently for couples depending on who closes what and when:

1)    If a couple splits all transactions fifty-fifty, you can set up half caps. For example, this could be $9,000/$25,000 in each associate’s record.

2)    If only one closes everything, put full caps in this person’s record and zero caps in the other.

3)    If they close transactions randomly, you will have to watch their GCI and Co$ closings and anticipate in which DA they will cap. Before posting this DA, go into their Associate record and adjust the caps so when you post the DA, it'll calculate correctly for both Co $ and Royalty Base.

Married couples sharing one cap must have the same anniversary date. – (see Spouse MORE ID below for syncing dates)

NOTE: The cap amounts for your Market Center may be different.

NOTE: Married couples are not required to have one cap.

NOTE: If a couple who shared a Royalty cap divorces, each will be credited for half of what has been paid to date and will be responsible for any remaining Royalty toward each associate’s individual Royalty cap. If a couple divorces, each spouse’s WinMORE ID will need to be removed from each other’s WinMORE record. The market center will need to email MCASupport@kw.com to request a password to remove each spouse’s ID.

NOTE: The royalty payment is never waived.

Commission EIN/BN

Enter the Commission Tax ID (if different than the associate’s SSN).

If this associate’s real estate license is a corporation, partnership, etc.; enter the legal entity’s Tax ID number. This is the tax number that will be used for the associate’s IRS Form 1099. If this field is left blank, WinMORE uses the associate’s Social Security number on the IRS Form 1099.

NOTE: For any associates incorporated or requesting payment to a corporation (different than SSN/SIN), you will need to create a company record before entering the Commission EIN or BN number. For information on creating or managing a company record see Enter Companies.

Company Name

WinMORE will populate this field from the Command MC Associates Applet.

Spouse MORE ID

This field is used to track the MORD ID of a spouse for those Associate eligible to share a royalty cap and to sync the Royalty Anniversary Dates.

For more information on this process see Married Couples Syncing Dates

Spouse Name

WinMORE will populate this field based on the entry in the Spouse MORE ID field.

KWCares, KW Kids Can,

Bold Scholarships

1.    The KW Cares, Family Fund, and BOLD Scholarship fields allow the associate to donate either a flat rate or percentage to KW Cares, the Family Fund, or BOLD Scholarships per DA. To enter a percentage, you must include the percent sign (%), not a decimal. Example:

.01 would be = $.01

1% = 1%

The KW Cares, KW Kids Can, and/or BOLD Scholarship deductions from this field will be totaled for all associates and included on the Profit Share Calculation Report during the month end transmittal. Donations will be remitted to KWRI along with the Market Center’s royalty and other fees.

Deductions

Associates can authorize the Market Center to deduct either a flat rate or percentage from their commissions. Deductions entered on the associate record will be recorded on every DA.

For information on creating custom deductions for your market center see: Creating Deductions

Designations

You can enter the Associates designations in this field. More than one is allowed.

NOTE: These designations do NOT feed the White Pages. Designations must be managed separately on the White Pages and can be managed by the Associate.

Royalty Exception and Explanation

If a Royalty Exception on your royalty exceptions report, it will be listed her on the Associate Record and will continue to appear on the report until you enter an Explanation for why the exception occurred.

Examples of some exceptions:
Royalty Base not set to the market center standard – this can result when you have a married couple sharing a cap.

Associate Royalty over/under the standard – this can occur if you manually override or adjust Associate Royalty on a DA.