Commission & Realtor Accounting: Treat Income Like a Business

Realtors often treat commissions as cash flow — not a business model. That’s where mistakes begin.

Common Errors

• Recording gross instead of net income.

• Ignoring referral commissions.

• Mixing personal and business expenses.

• Failing to reserve 25–30% for taxes.

Pro Tip: Track net commissions monthly, use dedicated accounts, and automate tax savings transfers.

Takeaway: Treat every commission like a business transaction — clarity builds confidence.

⚠️ This blog is for informational purposes only. It may not apply to your specific situation. Please consult your CPA.