Payout Schedule and Fees
Our payout schedule may seem simple, and it is.
You get the percentage payout we promise on every dollar you earn– no matter what the product or service is. There are no monthly hurdles until you achieve these levels.
Certain products have ticket charges that are deducted from your gross compensation prior to calculating your payout. This is not how you will find most firms calculate your payout – the majority of them will compute the payout percentage on your gross commission – and THEN take out your ticket charges.
| All Products | |
| $75,000 – $100,000 | 75% |
| $100,001 – $150,000 | 80% |
| $150,001 – $500,000 | 85% |
| $500,001 – $750,000 | 87% |
| $750,001 - $1,000,000 | 88% |
| $1,000,001 and over | 90% |
Following is an example of why our payout formula is essentially a “payout enhancement” over most other firms:
| THE COMPETITION | CUTTER & COMPANY | ||
| GROSS: | $1,000 | GROSS: | $1,000 |
| Payout: | 85% | Ticket Charge: | $20 |
| Net: | $850 | Net before Payout: | $980 |
| Ticket Charge: | $20 | Payout: | 85% |
| Commission to FA: | $830 | Commission to FA: | $833 |
This may seem like a small discrepancy, until you take into account how many times this calculation might happen in a month. The small differences in how we calculate your payout can add up to real dollars if you are generating a significant number of transactions each month.
Financial Advisor Transaction Fees
| Stock Trades | |
| $15 per trade | 0 – 299 trades per month |
| $12.50 per trade | 300 – 499 trades per month |
| $10 per trade | 500+ trades per month |
| Options | Mutual Funds |
| $10 per trade plus $0.75 per contract | $15 – Buy / $10 – Sell |
| Bonds | $1.75 – Systematic buy/sell |
| $30 | $.50 – Exchanges |
| UIT’s and CD’s | |
| $20 |
Fee-Based Wrap Programs
18 – 20 bps, declining to 7.5 to 2 bps, depending on the account size and program being used. Add approximately 50 bps if you wish to use an institutional manager (if applicable). These fees include the trading costs, performance reporting, fee deduction and management services, if applicable
Other Independent Contractor Expenses
Errors & Omissions
$275 / month
Direct Business (if applicable)
$50/month
Registration Fees
Typically approximately $50 – $75 per state. This expense is passed on exactly as charged by each state.
CRD Continuing Education
Actual fee charged by FINRA or CE provider
Computer System
- $150 per month Smartstation Access (without Envision®)
- $180 per month Smartstation with Envision®
- $500 per month Smartstation Access (without Envision® with real time quotes)
- $530 per month Smartstation with Envision and real time quotes.
For more information about our firm and the services we offer, send us a quick email or call the office. We would welcome the opportunity to speak with you.
info@cutterco.com | 1-800-536-8770