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30 under 30
Young Professionals
REALTOR® Emeritus | Hiring personnel Structuring Compensation Offering a competitive commission is a key to hiring and keeping top performers | | ||||
|  Assessing Personnel Needs Advanced-Beyond Job Descriptions: Job Matching for Real Estate Sales Recruitment Planning Advanced: What Top Performers Want from You Recruiting Salespeople Advanced: Tips for Recruiting the Seasoned Professional Recruiting Support Personnel Advanced: The Family and Medical Leave Act The Interviewing Process Advanced: Behavioral Interviewing Tips for Selecting a Psychological Test Structuring Compensation Advanced: Compensation Tips for Management Personnel | Tips for Negotiating Commission Splits Sooner or later, a top performer is going to ask for more. In such cases:
4 Benefits to Set Your Company Apart Fringe benefits also are a big draw in attracting new associates. For more on developing benefit programs, visit the Retaining Top Personnel section. 1. Health insurance. Only 26 percent of residential real estate companies offer this benefit to independent contractors, and even fewer offer it to salaried licenses or administrative staff, according to The 2004 NATIONAL ASSOCIATION OF REALTORS® Profile of Real Estate Firms. 2. Life insurance. Offered by only 4 percent of companies. 3. Pension plan. Offered by only 6 percent of companies. TIP: For more on setting up retirement and person plans, visit the Retirement Planning section. 4. Disability insurance. Offered by only 5 percent of companies. TIP: Check out the REALTOR® VIP Program, which offers REALTORS® in all 50 states competitive rates for health, dental, vision, prescription drugs plans and life and disability insurance. Health insurance policies are often available for both individuals and small brokerage offices. Life and disability benefits include guaranteed disability income insurance at discounted rates and accidental disability insurance coverage with no minimum salary requirement or occupational exclusion. Tips for Compensating Support Staff Before you hire support staff at your brokerage:
TIP: Limit your fringe benefit costs to no more than 15 percent of employees' salaries. —Real Estate Office Management, 3rd edition, Real Estate Brokerage Managers Council, Real Estate Education Company, 1996
Employee Compensation Issues to Remember
TIP: Salespeople who employ unlicensed assistants are responsible for compensating them, although you may offer to have the company provide this service for a fee. If an assistant holds a real estate license, the broker must be the one who pays the compensation as part of the commission disbursement. Be sure salespeople understand withholding and independent-contractor issues as they relate to their assistants and other staff. Withholding Tips If support staff and personal assistants work as employees, you are responsible for withholding federal and state income taxes, withholding the employee's share of the FICA (Social Security and Medicare payments), and paying your portion of FICA.
TIP: You also may be responsible for paying worker's compensation insurance for your employees; many small companies are exempt, but visit the Small Business Administration Web site for state-by-state requirements for worker's compensation. Advanced: Compensation Tips for Managers >
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