Comp Payouts- Getting Sliced in 06'

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Jan 10, 2006 9:39 am

Anybody care to share what you know are the current payouts for either Indy, Wirehouse or Bank payouts?



I think this is the worst payout plan I've seen....



AmTrust Bank/Ohio Savings came out with this "great" program for 06'

:

Single Producers:

Monthly Production:

0-13.5K= 15% old and new money

13.5K-19.99K=20% old and 30% new money

20K to 34.99K= 24% old and 35% new money

35K to 49.99K= 29% old and 40% new money

50K+= 32% old and 48% new money



Teams are:

Monthly Production:

0-24.99K= 15% old and new money

24.99K to 34.99K= 20% old and 30% new money

35K to 49.99K= 25% old and 35% new money

50K to 79.99K = 30% old and 40% new money

80K + = 32% old and 48% new money



BTW. These grids reset monthly- they are not cumulative or retro if you
make it to a higher level. So, you can theoretically gross 300K through
October,  and then have a slow month in November and get paid 15
or 20% on old money which is money already at the bank or currently
invested. Sorry kids- no presents this year



Is this the worst payout plan or what?


Jan 10, 2006 10:12 am

90% on securities and 100% on insurance.

Jan 10, 2006 10:29 am

That payout (AmSouth, not Dirk's) is horrible.  My god you should just ask them to put you on the clock like a salary drone and you'd probably do better.


FWIW-you might want to think about how you can "game" the program and clump your production into particular months by delaying some deals and accelerating others.


They're really screwing you with this "old money" idea.  I guess they've never heard of the idea of building a recurring revenue stream and servicing existing clients to keep them on the books and win new assets?


Mine is not as good as Dirk's, but not shabby-


Fee based accounts-90% and goes higher as production gets in the six figure range


Stocks 'n Bonds  76% and goes up after about 50k in production.


Mutual Funds and UIT's 90%


Of course, that's before overhead, but those payouts can cover a lot of overhead!


Jan 10, 2006 11:21 am

does "old money" mean funds from your branch/AmSouth deposit base "new money" from outside of the AmSouth system?


If yes then that's pretty close to what most bank brokers get.  When I worked for a bank brokerage almost 2 decades ago, I was able to get most of my prospects to write me a check from their "other" bank, and transfer their "in-house" assets to the "other" bank. This way I was receiving the same as most wire-houses.


Alternatively is get the "rollover" into a Money Market MF and then do the trade next month (or whenever the "old money" turns into "new money").


Finally how much prospecting do you have to do to get the biz you write?

Jan 10, 2006 3:38 pm

Monthly grid:


0 to 10K -  base salary (not much, but enough to cover my expenses)


10k to 20K - 30.% plus base


20k to 30K - 32.5% plus base


30k to 40K - 35% plus base


40k to 50k - 37.5% plus base


50k plus - 40% plus base


I think it is very fair, especially considering the expense account, laptop, 6% nonmatching into 401K, mileage reimbursement (currently 44.5 cents a mile), cell phone, referral fees paid by bank, christmas bonus, health ins paid for completely, etc etc

Jan 10, 2006 5:46 pm

Here's my payout if anyone cares:



30% $0-$50,000<?:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />


32%  $50,001-$75,000


34%  $75,001-$100,000


36%  $100,001-$125,000


38%  $125,001-$150,000


40%  $150,001 and greater


Jan 10, 2006 6:15 pm

I assume that is annual right?  Does it retro back when you hit the next plateau?


Ex...when you hit $50,000, do you get the extra 2% back on the first $49,999.00 as a "bonus."


I know of a big regional that does that.

Jan 10, 2006 6:16 pm
BankFC:

Monthly grid:


0 to 10K -  base salary (not much, but enough to cover my expenses)


10k to 20K - 30.% plus base


20k to 30K - 32.5% plus base


30k to 40K - 35% plus base


40k to 50k - 37.5% plus base


50k plus - 40% plus base


I think it is very fair, especially considering the expense account, laptop, 6% nonmatching into 401K, mileage reimbursement (currently 44.5 cents a mile), cell phone, referral fees paid by bank, christmas bonus, health ins paid for completely, etc etc



i get reimbursed 25bps on new money. my laptop cost me $600. 6% of nothing is nothing. so...you drive what? 300 miles/year? cell phone is $50/month. referral fees are illegal. Was your bonus a turkey or a ham? Health insurance is $6,000/year, whoopie. Sounds fair to me. Where do I sign up?

Jan 10, 2006 7:12 pm

Dirk,


Referral fees are not illegal as long as they are not based on selling something.


0-12 Salary


12-18 25%


18-22 28%


22-30 30%


30-35 34%


35-40 38%


40+ 40%


Something like this I'm not at work, monthly + bonus 2-10%.  I also claimed 15,000 miles last year, not 300.

Jan 10, 2006 7:16 pm
bankrep1:

Dirk,


Referral fees are not illegal as long as they are not based on selling something.


0-12 Salary


12-18 25%


18-22 28%


22-30 30%


30-35 34%


35-40 38%


40+ 40%


Something like this I'm not at work, monthly + bonus 2-10%.  I also claimed 15,000 miles last year, not 300.



True. How much does the bank pay for referrals. What qualifies someone to get paid? Just giving the name?

Jan 10, 2006 8:40 pm

Most programs I know of pay between 10 -25 dollars per appt.  To qualify the prospect must meet a given criteria.

Jan 10, 2006 11:33 pm
bankrep1:

Most programs I know of pay between 10 -25 dollars per appt.  To qualify the prospect must meet a given criteria.


I don't know if I'd risk a friendship for 25 bucks.

Jan 11, 2006 10:51 am
bankrep1:

Dirk,


Referral fees are not illegal as long as they are not based on selling something.


0-12 Salary


12-18 25%


18-22 28%


22-30 30%


30-35 34%


35-40 38%


40+ 40%


Something like this I'm not at work, monthly + bonus 2-10%.  I also claimed 15,000 miles last year, not 300.



Interesting.  Sounds like  a better deal than a wire, but worse than indy.


But you avoid some of the headaches of indy life....then again I don't have to go to sales meetings.

Jan 11, 2006 12:47 pm

High-end lap-top with docking station - $3,000


First month's office rent - $750


Classy office furniture - $10,000


Part-time assistant - $1,500


Avoiding sales meeings and pipeline/activity reports - priceless...

Jan 11, 2006 2:00 pm

Luckily I don't have sales meetings or pipeline reports.  However, I do get "Mike, I don't need education.  I've been investing for 25 years.  By the way, those mutual funds you're recommending.... They can't go down because they're covered by FDIC?"


:Bangs head against wall:


Jan 11, 2006 2:24 pm

I don't have sales meetings where I am now, but in the past I kind of looked forward to them.  They were only once a month or every 6 weeks and we always went out as a group afterward

Jan 11, 2006 2:58 pm

90% securities 100% Insurance

Jan 11, 2006 5:43 pm
bankrep1:

I don't have sales meetings where I am now, but in the past I kind of looked forward to them.  They were only once a month or every 6 weeks and we always went out as a group afterward


Ours were nothing but damn pep sessions...a total waste of time...

Jan 11, 2006 5:58 pm

We usually ended up at the gentleman's club

Jan 12, 2006 12:35 pm
Dirk Diggler:
BankFC:

Monthly grid:


0 to 10K -  base salary (not much, but enough to cover my expenses)


10k to 20K - 30.% plus base


20k to 30K - 32.5% plus base


30k to 40K - 35% plus base


40k to 50k - 37.5% plus base


50k plus - 40% plus base


I think it is very fair, especially considering the expense account, laptop, 6% nonmatching into 401K, mileage reimbursement (currently 44.5 cents a mile), cell phone, referral fees paid by bank, christmas bonus, health ins paid for completely, etc etc



i get reimbursed 25bps on new money. my laptop cost me $600. 6% of nothing is nothing. so...you drive what? 300 miles/year? cell phone is $50/month. referral fees are illegal. Was your bonus a turkey or a ham? Health insurance is $6,000/year, whoopie. Sounds fair to me. Where do I sign up?