This setting is responsible for a lot of what happens in RealtyBackOffice. Because of this setting, we can automatically calculate all transaction financials the moment an Agent creates a transaction. As a result of this, we can also allow you and your Agents to forecast commissions into the future based on Active and Pending transactions.
To start adding compensation plans, go to Menu > Settings > Admin App Settings > Company/Office Settings > Compensation Plans for Agents > click on Add Plan at the top right corner. After that, a pop-up window will appear allowing you to name the plan and put a plan description (optional). Then, click on Save.
If you want to reorganize the order in which your plans will show up, you can do so by clicking on the arrows to the left of the plans and dragging and dropping them in your desired order.
Once you have added the plan, you would want to edit the plan by clicking on the three vertical dots to the right of the plan name and clicking on Edit Plan. A pop-up will come up where you will be able to set the company portion of the commission.
RealtyBackOffice provides five different ways a brokerage can make monies which are Company Commission, Company Transaction Fee (or processing fee), Company Errors and Omissions Fee, Company Franchise Fee, and Company Other Fee.
Furthermore, if applicable, you can set the company portion of the commission to vary based on the Agent’s Role in the transaction when an Agent is a Listing Agent, Selling Agent, Listing and Selling Agent (when the Agent is on both sides of the transaction), and Other.
The final way that RBO allows you to customize a compensation plan is by Transaction Type. You will find this option on the upper left-hand side of the pop-up. This is specifically useful if your Agents’ commission split may vary depending on the transaction type.
For example, if the plan name is 70/30 Split (across the board and no matter the transaction type) there are many instances where the split varies depending on transaction type as in rentals or commercial transactions. In that case, this setting makes fine-tuning a plan according to transaction type possible. Note: To change to the next view, click on Residential Sale, a drop menu will appear allowing you to go to the next transaction type.
To customize a compensation plan, first, you are going to want to select the transaction type from the dropdown. Once you have selected the transaction type, you will need to start adding the company portion of the commission for each of the income types and potential roles the Agent can have in a transaction.
Next, you will want to add values for the company portion of the commission for all the potential income types and for each of the potential roles an Agent can have in a transaction. To the right of the company portion of the commission field, you can also select the amount type. An amount type can be a Flat Fee, % of Commission, or % of Total Commission (only applicable when there are additional fees collected in a transaction and you would like for the company portion to be a percentage of the total including any additional monies earned in the transaction such as a transaction fee charged to the buyer or seller or an MLS fee charged to the buyer’s Agent).
RealtyBackOffice’s compensation plan settings allow you to fine-tune your compensation plan so that no matter the scenario, RBO will calculate your company split accordingly. Once the company split for all income types has been added to a specific transaction, you will want to click Save Changes on the bottom right of the pop-up.
You must repeat the exact steps for each of the transaction types which are selected in the dropdown menu on the upper left-hand side of the page.
Please note that you will need to follow this set-up workflow for all transaction types even if the split is the same for all.
Once the compensation plans have been created, please make sure to associate the compensation plan to the agent User profile, then scroll down in the middle panel and click on “Update User Profile” Once the plan has been associated with the agent User profile, the plan will be applicable moving forward when the agent creates a new transaction.
If you have any questions, please feel free to email us at firstname.lastname@example.org or call us at (305) 517-3836.