Dan OBrien
Expert
- 34
How much of a percentage do they get if you already get the full commission rate?
How do FMOs/IMOs get paid based off your production if they pay you a 100% commission?
- Thread starter Dan OBrien
- Start date
- 11,278
The full commission is higher than 100% as life insurance policies that pay that are multi-year premium contracts.
- 10,330
Easy. They get paid more than 100% of first year premiums.
This kind of question always bugs me.
What do you CARE about how much the IMO/FMO makes?
You should be more concerned about what they pay YOU, what kind of support they offer (including training) and if commissions are paid to them vs you.
Nothing else matters.
If you want a bigger piece of the pie, earn it.
What do you CARE about how much the IMO/FMO makes?
You should be more concerned about what they pay YOU, what kind of support they offer (including training) and if commissions are paid to them vs you.
Nothing else matters.
If you want a bigger piece of the pie, earn it.
How do you know he is not a new agent trying to understand how commissions work?
Even if he is not new, it doesn't readily make sense mathematically the first time an agent wonders "Hey how much does the IMO get paid if they are paying me 100% commissions?"
It's a very ligit question since it makes no sense to someone that doesn't already know the answer. I get it all the time. They are just thinking 100% is 100%, so if there is nothing left, how does the upline get paid.
- 10,330
How do you know how big the pie is without asking?
If an agent doesnt understand the pay structure of this industry, how will they ever know if they are receiving fair pay? Or how will they be able to negotiate if/when in a position to do so?
Knowledge is power.
Nothing wrong with wanting to know how something works, especially when its your career/income!
Folks in the real (non-union) world have the ability to negotiate salary without ever knowing how much their boss makes, or the CEO or what the profit margin is on the product/service offered.
Either they believe the offer is fair and they take it or they don't. If they think they are being underpaid they seek out other, presumably better offers.
How can a car dealer take my upside down car as a trade-in, pay off my loan, and finance my new car?
Frankly, most buyers probably don't care how the dealer does that as long as they feel they are getting a good deal.
I see GREEN agents on here all the time looking for the "highest commission" when they have never sold a thing.
Todd has different level contracts. Does everyone get the highest payout or does he start someone out at a lower level . . . unless they have proof of production?
- 24,978
Another example that does not make sense to the uninformed > ROPTerm
Client = " how can they Insure me for $250,000, guarantee it for 30 years, on top of all of that guarantee to give me all the premiums back at the end?" Makes no sense.
Client = 'And how is 30 year cheaper than 20 year ?'
Me = 'Hell I don't know, they are stupid. Hurry and sign before they figure it out.'
EDIT: 30 yr cheaper than 20 yr.
Client = " how can they Insure me for $250,000, guarantee it for 30 years, on top of all of that guarantee to give me all the premiums back at the end?" Makes no sense.
Client = 'And how is 30 year cheaper than 20 year ?'
Me = 'Hell I don't know, they are stupid. Hurry and sign before they figure it out.'
EDIT: 30 yr cheaper than 20 yr.
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