100% Commission vs Traditional Splits: The Real Math Behind Your Paycheck

Let's Talk Numbers

If you're a real estate agent — or thinking about becoming one — the single biggest factor in your income isn't how many deals you close. It's how much of each deal you actually keep. Commission structure is the silent difference between agents who build wealth and agents who stay stuck.

Let's break down exactly what happens to your money under a traditional split versus a 100% commission model.

The Traditional Split: What You're Really Paying

Most traditional brokerages offer agents a split — typically 70/30, 75/25, or 80/20 for experienced agents. That means on every dollar you earn in commission, you're handing 20-30 cents back to your brokerage. On a $350,000 sale with a 2.5% commission, here's what that looks like:

Your gross commission: $8,750. At an 80/20 split, you take home $7,000 and the brokerage keeps $1,750. At a 70/30 split (common for newer agents), you take home $6,125 and the brokerage keeps $2,625.

Now multiply that across 12 deals in a year. At 80/20, you're giving away $21,000. At 70/30, it's $31,500. That's a down payment on an investment property. That's a year of your kid's college fund. Gone.

The 100% Commission Model

At Mega Realty, the math is different. You keep 100% of your commission on every deal. Instead of a split, you pay a flat $100/month brokerage fee and $550 per transaction. That's it.

Same scenario: $350,000 sale, 2.5% commission, 12 deals per year. Your gross commission per deal: $8,750. Minus the $550 transaction fee: $8,200 in your pocket. Over 12 deals, you take home $98,400. Your total fees for the year: $1,200 (monthly) + $6,600 (transactions) = $7,800.

Compare that to the $21,000-$31,500 you'd lose in splits. You're saving $13,200 to $23,700 per year.

But What About the "Support" You Get?

The most common argument for traditional splits is that you're paying for training, technology, brand recognition, and broker support. Let's be honest about what that really means.

Training at most large brokerages is generic — pre-recorded videos and occasional group sessions that don't move the needle. Technology is often a basic CRM that you could subscribe to yourself for $50/month. And brand recognition? Clients hire agents, not brokerages. When was the last time a buyer said "I want to work with Keller Williams" instead of "I want to work with Sarah who sold my neighbor's house"?

At Mega Realty, you still get broker support, marketing tools, and E&O insurance — all included. The difference is you're not paying 20-30% of your income for them.

The First-Year Factor

Here's where it gets even better. New agents at Mega Realty pay $0 in monthly fees for their entire first year. So that $1,200/year in monthly fees? Gone for year one. Your only cost is the $550 transaction fee. For a new agent closing 6-8 deals in their first year, the savings compared to a traditional brokerage are significant — often $10,000 or more.

Run Your Own Numbers

Every agent's situation is different. The best thing you can do is pull out last year's closing statements and calculate exactly what you paid your brokerage — not just in splits, but in desk fees, technology fees, franchise fees, and any other charges that quietly eat into your income.

Then compare that to the flat-fee model. The math usually speaks for itself.