What is commission trust?
Commission trust is a bank account that sits between your deposit trust account and your operating account. Commission funds flow through it before agents are paid and the brokerage's share is transferred to operating:
Trust Account → Commission Trust → Agent payouts + vendor payments → Operating Account
How commission trust works in BackOffice
A commission trust account is created for your brokerage by default. You don't need to set anything up - it's ready to use when you start processing transactions.
If you need to rename it or add additional bank accounts, go to Accounting > Add accounts.
How to use commission trust when recording payments
There's no special workflow for commission trust, it works exactly like any other bank account in BackOffice. When recording an incoming or outgoing payment, you simply select which bank account to use.
For example:
When receiving the remaining funds from the lawyer, select Commission Trust as the receiving account
When paying agent commissions or vendor bills, select Commission Trust as the payment account
When transferring the brokerage's profit at the end of the transaction, transfer from Commission Trust to your Operating Account
See it in action
The best way to understand the full commission trust workflow, including how it fits into the complete transaction lifecycle, is by watching the walkthrough video below: