First Team Real Estate

Business math

See the Financial Pathway, Not Just the Starting Split.

Most new agents compare brokerages by looking at the starting split. That is understandable, but incomplete. The more important question is who is going to help you create enough production for the split to matter.

Open the CalculatorsSee the Split Ladder

How the model works

Three numbers drive every commission conversation.

Once you understand them, every level on the ladder makes sense.

01

Gross commission income

Formula

Sales price × commission % = GCI

Example

$1,000,000 × 2.5% = $25,000

02

Administrative fee

Formula

GCI × 6% = admin fee

Example

$25,000 × 6% = $1,500

03

Net effective split

Formula

Office split − 6% = net effective split

Example

50% − 6% = 44%

Commissions are negotiable and transaction-specific. The 2.5% used above is an illustration only, not a standard rate.

The split ladder

Nine levels. Each one earned through production.

You start at a starting split. As cumulative associate earnings grow, the office split moves up. The 90% level is upon approval; Jacob's office benchmark for that conversation is $250,000 in associate earnings.

LevelOffice splitNet effective splitAssociate earnings range
0150%44%$0 – $10,000
0255%49%$10,001 – $20,000
0360%54%$20,001 – $30,000
0465%59%$30,001 – $40,000
0570%64%$40,001 – $55,000
0675%69%$55,001 – $75,000
0780%74%$75,001 – $100,000
0885%79%$100,001 – $250,000
0990%84%Upon approval · office benchmark $250,000
Level 01 · 50%Level 02 · 55%Level 03 · 60%Level 04 · 65%Level 05 · 70%Level 06 · 75%Level 07 · 80%Level 08 · 85%Level 09 · 90%

Split progression is governed by the current written agreement and company policy. Movement up the ladder is earned through production and is not automatic or permanent.

Why the pathway matters more

We do not just offer a split. We offer a pathway to production.

We are a traditional split brokerage with a starting office split and a 6% administrative fee, and we do not have a cap. That is intentional. Once a brokerage stops earning on your production, it stops being invested in your growth.

The model rewards implementation and results: as you produce, the office split moves up the ladder. A higher starting split somewhere else only matters if there is production to apply it to.

Your starting split is not a number on a website. It is set in the Agent Discovery Session, based on your experience, your plan, and what you are prepared to implement.

Book an Agent Discovery Session

The calculators

Run your own numbers.

Every output is an estimate built on the assumptions you enter.

The Commission Calculator

Adjust the inputs to see how the math actually flows. Add more transactions and the split climbs with cumulative earnings. The split you select here is a starting split assumption, not a promise.

Number of similar transactions
1

This deal

Gross commission income
$25,000
6% administrative fee
$1,500
Starting office split
50%
Starting net effective split
44%

Modeled agent earnings

$11,114

Commission examples, splits, fees, eligibility, payment timing, deductions, and company policies are illustrative and governed by current written agreements with First Team Real Estate. Commissions are negotiable and transaction-specific. Calculator results are estimates, not income or tax advice.

The Pathway Calculator

Model the progression transaction by transaction. Each transaction uses the split in effect before it; a level earned applies going forward, never retroactively.

Modeled agent earnings
$162,500
Started at
50%
Ended at
85%
TransactionOffice split usedNet effectiveModeled earningsCumulative associate earningsSplit for next transaction
150%44%$11,000$11,00055%
255%49%$12,250$23,25060%
360%54%$13,500$36,75065%
465%59%$14,750$51,50070%
570%64%$16,000$67,50075%
675%69%$17,250$84,75080%
780%74%$18,500$103,25085%
885%79%$19,750$123,00085%
985%79%$19,750$142,75085%
1085%79%$19,750$162,50085%

Commission examples, splits, fees, eligibility, payment timing, deductions, and company policies are illustrative and governed by current written agreements with First Team Real Estate. Commissions are negotiable and transaction-specific. Calculator results are estimates, not income or tax advice.

Optional scenario

What If Jacob Starts You Higher?

Income Goal Calculator

Estimate how many similar transactions could be needed to reach a modeled agent-earnings goal, either at a flat starting split or along the pathway.

Estimated similar transactions
7
GCI assumption per transaction
$25,000
Modeled agent earnings
$103,250
Split reached in this model
85%
Goal plus selected fees
$101,990

Commission examples, splits, fees, eligibility, payment timing, deductions, and company policies are illustrative and governed by current written agreements with First Team Real Estate. Commissions are negotiable and transaction-specific. Calculator results are estimates, not income or tax advice.

Fixed-fee timeline

How Your Fees Actually Work Over Time

Brokerage fees can sound more complicated than they actually are because your first-year program, your anniversary year, and the company’s normal billing schedule are not necessarily the same thing. Here’s the simplest way to understand it.

Year 1

Your First 12 Months

01

Eligible new-agent program

$699 total

For eligible brand-new agents, your discounted new-agent fee covers your first full 12 months with First Team, regardless of what month you join.

$150

When you start

$549

After 90 days

$699

First 12 months

Your first year is based on your start date, not the calendar year.

Year 2

The Transition Year

02

After your first full 12 months, you transition from the discounted new-agent program into First Team’s normal annual fee schedule.

Because the company’s regular fees operate on their own billing schedule, your applicable fees are prorated as needed during this transition rather than charging you again for time you already paid for.

Important

You Do Not Pay Twice for the Same Period.

Joining later in the year does not mean you suddenly owe another complete annual fee immediately after your first anniversary. The transition is designed to account for the period you have already paid for.

Year 3+

Normal Annual Schedule

03

Current standard annual fees

$1,990

E&O coverage

$1,500

Errors & Omissions coverage associated with operating a professional real estate business, subject to company policy and coverage terms.

Legal

$195

Access to First Team’s legal support and real-estate attorney resources.

Technology

$295

Company technology, systems, tools, support, email, website resources, and related infrastructure.

$1,500 + $195 + $295

= $1,990

Current standard annual fees

Once you are fully transitioned onto the normal company billing schedule, these are the current standard annual fixed fees, subject to future company changes.

The distinction that matters

Your Anniversary Year and Your Fee Billing Schedule Are Two Different Things.

Your First Team anniversary year is based on the date you joined the company and is used for things such as measuring annual production and commission split progression. The company’s annual fees operate on their own billing schedule. Those two timelines should not be assumed to reset on the same date.

Your anniversary year

  • Starts on your hire date
  • Runs for 12 months
  • Used for production measurement
  • Used for split progression

Company fee schedule

  • Has its own annual billing cycle
  • Includes items such as E&O, legal, and technology
  • May require proration when transitioning from the new-agent program
  • Does not automatically reset on your joining anniversary

Three timelines. Three different purposes.

Once you separate these three timelines, the fee structure becomes much easier to understand.

01

Your first 12 months

The discounted $699 new-agent program.

02

Your anniversary year

Your 12-month production and split-measurement period.

03

The company fee calendar

The normal billing schedule for E&O, legal, technology, and other company charges.

A real-world example

What If I Join in September?

September 2026

You join First Team and begin the discounted new-agent program.

Step 1 of 4

September 2026 – August 2027

Your first full 12 months are covered under the $699 new-agent structure.

Step 2 of 4

After your first 12 months

You transition into the regular company fee schedule. Your applicable fees are prorated as needed so you are not paying twice for overlapping periods.

Step 3 of 4

After the transition

You follow the normal First Team annual fee schedule.

Step 4 of 4

Your September anniversary does not mean every company fee suddenly renews every September.

Common questions

When and How Fees Are Paid

Straight answers to the questions that most often come up during the transition from the new-agent program.

Verify OCAR Membership Costs

Financial information on this page is provided for illustration and discussion purposes only. Actual fees, payment timing, discounts, proration, eligibility, commission splits, and company policies are governed by current written agreements with First Team Real Estate and may change. Confirm current terms before making a brokerage decision.

Agent Discovery Session

You have seen the math. Now let's talk about your starting point.

The discovery conversation is where the starting split, the plan, and the first 90 days get decided together.

Book an Agent Discovery Session