Free for financial advisors
Put in the premium and the rates from your own commission schedule, and see the first-year commission, each renewal year and the total.
Renewal rates
First-year commission: $1,500
Then $900 over 5 renewal years: $2,400 in all, with 62.5% of it in year one.
| Year | Rate | Commission | Total so far |
|---|---|---|---|
| 1 | 50% | $1,500 | $1,500 |
| 2 | 10% | $300 | $1,800 |
| 3 | 5% | $150 | $1,950 |
| 4 | 5% | $150 | $2,100 |
| 5 | 5% | $150 | $2,250 |
| 6 | 5% | $150 | $2,400 |
It takes a minute, and the answer changes as you type.
The sums behind the default numbers. The rates are made up, so put in your own.
A $3,000 premium at a 50% first-year rate pays $1,500 in first-year commission.
At 10% in year 2 and 5% in years 3 to 6, the renewals pay $300, then $150 a year: $900 over five years.
That's $2,400 from the one policy, and 62.5% of it comes in year one.
10 policies like it pay $15,000 in first-year commission, and $24,000 over the six years.
Renewal commission is only paid while the client keeps paying. Add the share you expect to keep paying each year.
If your target is set in first-year commission, work out what one policy pays first.
The calculator is free. ActivityTracker, the app we make, is paid, and it keeps the year's number in front of you.
The first-year premium times the first-year commission rate for that product. A $3,000 premium at 50% pays $1,500. Our glossary's FYC entry covers what MDRT counts.
From your own commission schedule. Each insurer sets its own rates, product by product, so the same premium can pay quite different commission.
Commission on the same policy from the second year, while the client keeps paying. Your schedule sets the rate for each year and how many years it's paid.
Put in the year's total. $250 a month is $3,000 a year.
It can. If a policy doesn't stay in force, some contracts charge back commission already paid. Your contract sets how.
Under MDRT's commission method, 100% of first-year commission counts on the products it credits. The MDRT calculator shows your gap to MDRT, COT and TOT.
Yes, and there's no sign-up. The Copy link button saves your numbers in the link.
Keep using the calculator for free. The app keeps the year's first-year commission goal in front of you.