When negotiating or renegotiating an experienced agent’s commission structure, is their production the only thing that matters?

Would you take into consideration that they have expanded and advanced their education to include designations and/or an associate broker’s license?

They are not necessarily a top producer, but consistent in sales?

Are helpful to new agents in answering questions and is generally respected by other agents in the office?

Would years with the company matter, say 5+ years?

What would you do to retain such an agent?

You input is greatly appreciated and thank you in advance.

That would be an easy matter if it was a very small Office, and the Commission Structure was not public knowledge among the Staff; but far harder in a larger Organization where Production is usually the best Objective Measure of Performance. It works to eliminate the questions of discrimination and favoritism that accompany Subjective Measurements.

I would hope that all of those other listed personal characteristics, education, positive work habits, and achievements would coalesce to produce a higher Production which is beneficial for both the Office AND the Individual Agent.

For what it's worth - our veterans (as many as 8 years with our company) are on the exact same split as our newbies.

The way ANY agent in our organization gets higher compensation is via bonuses.

Based on the number of leads we give agents in any given quarter - they are given a minimum target for the following quarter. If they exceed that target -- they get a bonus. It's that simple, and what's funny is that our seasoned agents have NEVER asked us for a raise because they know if they're not getting paid a high enough bonus - it's because they didn't close enough of their leads.

As an agent I am assuming it's you we are talking about. I would keep my mouth absolutely shut and not tell anyone in the office about your intentions. I would call your principal broker on their cell and make sure they are by themselves and not in the office. Ask them you would like to meet just them for lunch to discuss something you would like to talk about in private.

If they ask over the phone tell them you won't have enough time to explain it and you need to meet them in person to discuss.

This way at lunch you can have a CANDID conversation with their undivided attention. This way you can either keep the agreement the same,leave the company on good terms,or work out a new arrangement over lunch.

The key is to not tell anyone else your business. If the broker violates that trust later than you need to leave anyways.

If a broker has a crappy split everyone always wants to renegotiate once they have proven themselves. My structure is already a good commission. 100 percent commission 300.00 transaction fee so there is no renegotiation. The odds of them finding a better deal for what I provide is close to 0.

Good Luck