Calculating Payouts

How to Calculate Commissions

To calculate your payouts, use the following formula:

Target premium  x   Field %   x  Member Level %

CALCULATION EXAMPLE:
Company:  LSW
Writing Date/Application Sign Date:  5/5/2015
Product Name:  LSW Flex Life
Field Percent:  75 %
Writing Member = Level 20 (VP)
Target premium:  $500.00 (per Provider)

$500.00 (Target premium) x 75% (Field %) x 30.00% (level 05) = $ 112.50
$500.00 (Target premium) x 75% (Field %) x 10.00% (level 10) =  $  37.50
$500.00 (Target premium) x 75% (Field %) x 15.00% (level 15) =  $  56.25
$500.00 (Target premium) x 75% (Field %) x 45.00% (Level 20) = $ 168.75

Total payment                                                                                        $ 375.00

OR using your Payout Statement

Total Field Payout x Level % = Payout

$375.00 x 25% (Level 05) =  $ 112.50
$375.00 x 10% (Level 10) =    $ 37.50
$375.00 x 10% (Level 15) =    $ 56.25
$375.00 x  5% (Level 20) =     $168.75

Total payment                          $ 375.00

*Note:  Target premium amount is not displayed on The Company payout statements.

Above calculation is for illustration purposes only.  Numbers may vary depending upon product, actual Target premium amount, field percent and member level.