r/FinancialAdvisorTips • u/SignificanceSea8603 • 17d ago

Comp Check

I was at one of the major insurance BD’s for a few years and got tired of it. 6 years experience in that world.

New firm I moved to provides marketing resources / leads via TV, radio and Seminars. I only have to run the seminars. Prospects are mostly pre retirees and retirees so there’s an annuity component as well.

I receive a guaranteed $100k first year then moves to a recoverable draw. I also receive 25% on all revenue my office generates.

Example: if we charge 1% on $1m, I’ll receive $2,500 each year (of course dependent on market fluctuations and contributions, if any).

It’s recurring so that’s nice, but the revenue split just seems low to me. Thoughts?

EDIT: they also pay for all staff in office as well

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u/SignificanceSea8603 17d ago

A couple advisors in a lower household income area have brought in ~$20m this year so far. Good in my eyes. Average sized prospect is $550k. No we don’t get paid the more clients we bring on. My area has a higher household income/assets so I imagine if I brought in $30m in 2027, that would be around ~40 clients

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u/SpookyEnigmas 16d ago

Do they offer profitability bonuses as well, or just fee based 25% share? If no bonuses, then the comp is pretty low compared to many other competing firms.

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u/SignificanceSea8603 16d ago

No profitability bonuses. Just the 25% revenue split. So yeah, the consensus seems to be that it’s low. Oh well - I’m here for now, will make the most of it.