Adjustment DA's are used to correct production on a DA that was entered in a prior month. If the DA is in the current month, you will just correct/update the original DA. An adjustment DA is like doing a journal entry where when you take the initial DA and the adjustment DA and add the numbers together, you should end up with the final distribution of commissions.
Note: If an agent has overpaid between 2 market centers then the active market center will give the full refund. The royalty adjustment request must come from the active market center KLRW email to MCASupport@kw.com Instructions below
Adjustment DA to Refund Overpayment of Royalty
- Create New DA
- Enter the first day of the current month for both the Closing Date and the Contract Date
- Click the Adjustment Type button and choose Regular
- Tab to the “Change to DA #” field and enter the original DA number
- Tab and enter “refund of royalty” in front of the street name
- Click Save/Part 2
- Enter Zero for the price, Listing %, Sales %, and Units
- Change the “Check For” field to 1
- Click on the Associates on this DA button and add the associate to the DA
- For Type, enter S for Sale
- For Class, enter P for Property
- For Agency, enter B for Buyer
- Tab through to the Associate Split % field and enter 100
- Zero out any E&O insurance that populates
- Enter the amount of royalty owed to the associate as a negative number. In my example, the agent is getting refunded for overpaying their royalty cap by $100
- Continue to tab through and zero out any deductions or donations that automatically populate
- Associate check amount should be a positive amount showing the amount of the overpayment
- Click OK
- On page 2 of the DA, enter Zero for the Check # and tab to the check amount field. Enter zero for the check amount.
- Note: if you are refunding company dollar, enter 0 for check number and 0 for amount.
- Click in the reconcile box to let it populate the amount
- Post the DA and save it.
- You may get a popup message that says Error DA_VERIFY. This is checking that you truly want to force royalty in the transaction. Because you are refunding royalty, click Yes.
- Print the deposit slip in WinMORE and import it into AccountEdge
- Go to Banking > Spend Money > and write the associate a check using the 5-0060 (Clearing Commissions) account number from the cash account that you normally write your commission checks from
Please note: It is important to run an anniversary DA list for Royalty for this associate now that you have refunded their royalty over payment. If you believe a royalty adjustment is needed from KWRI, please see this article.
For those using Lonewolf make the following entry in addition to your WinMORE entry.
- Un-Finalize trade (Dated in the transmittal month)
- Change royalty to 0
- Finalize trade
- Print 2.P.1.2. Agent commission column should show balance
- Enter zzz999
- Click MISC Payment 3 tab
- Click on Add
- 1050 (commission trust account)
- Invoice # (trade), amount (see example)
- Screen will prompt for trade number (see example)
- Cut cheque to move money back (General Chq) payable to Keller Williams Advantage Realty
- 8.2 and EFT Money to associate (ensure amount matches 2p12 report.
- Run 2P12 to see if money cleared.