Example Projection Tables

Overview

Here are a few example projection tables based on a couple common commission scenarios to help you get started creating your own projection tables. Let us know if you think of any others!

IN THIS ARTICLE

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Flat Rate Projection Table

This example projection table is for when you would expect to receive the same commission dollar amount each month for the entire life of a policy.

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Per Life Projection Table

If a policy's commission is based on the number of lives, you can set to project commission using lives to calculate the projected commissions. This example projection table is for when you would expect to receive a dollar amount for each life covered under a policy for the duration of the policy.

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Percent of Premium Projection Table

When you are paid commission based on a percentage of premium, you can set a projection table as shown below. The example below shows a projection table where you would expect to receive 6% of premium as a commission for the first year of the policy and then 2% thereafter.

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9 Month Advance with a Monthly Frequency

If you receive a commission advance at the onset of a policy and then a steady stream of commissions after that, you can set up a projection table as shown below. The example below shows a scenario where you would expect to receive 95% of premium in the first month, no commissions from months 2 to 9, then 10% of the premium for the remainder of the policy's existence.

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Percent of Premium - No Change After the First Year - No Advances (“As Earned”)

Projection Table: 1 entry, no end date, just put in the percentage.

Required Policy Record fields:

• Premium and Effective Date
  
• Commission Frequency
  

Optional Policy Record fields:

• Commissionable Premium (only if the Carrier bases the commissions on a different amount; ex: annualized vs. monthly)
  

Commissionable Premium refers to the premium amount used by the Carrier to calculate commissions, which may differ from the premium stored in the Policy Detail > Premium field. If a value is entered in the Commissionable Premium field, the system prioritizes it when calculating projections. If left blank, the system defaults to the Policy Detail > Premium field.

For example, if a client pays their premium monthly, this amount may be stored in the Policy Detail > Premium field, while the Carrier bases commissions on an annualized premium. Keeping both values ensures clarity in case of client inquiries regarding their policy premium.

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Flat Amount - No Advances (As Earned)

Projection Table: 1 entry, no end date, just put in the Flat Amount.

Note: The amount projects according to the Commission Frequency.

For example, if you enter $10, it will project:

• $120 annually (monthly payments)
• $40 quarterly
• $20 semi-annually
• $10 annually

Required Policy Record fields:

• Effective Date (for Flat Rate)
  
• Commission Frequency (required if the Carrier is paying you other than monthly)
  

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Per Life - No Advances (“As Earned”)

Projection Table: Same rules and setup as Flat Amount, but the actual rate type is Per Life.

Required Policy Record fields:

• Effective Date and Lives
  
• Commission Frequency (required if the Carrier is paying you other than monthly)
  

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Percent of Premium - 1st Year Rate, Then Change to Renewal Rates - No Advances (“As Earned”)

Projection Table:

1. Enter months 1 to 12 and the corresponding rate.
2. Then add a second timeframe starting in Month 13 (or however long the second rate applies.
3. If the second rate continues indefinitely, set it with no end date.
4. Repeat this pattern for subsequent years and rates.
   

Required Policy Record fields:

• Premium (or Commissionable Premium if applicable) and Effective Date
  
• Commission Frequency
  
  

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Flat Rate - 1st Year Advance, Then “As Earned” (True 1-Year, No Prorating)

Projection Table:

1. Enter Months 1 to 1 with the first year advance amount.
2. Enter Months 2 to 12 with an amount of $0.
3. Enter Months 13 to End (or however many months) with the monthly “as earned” amount.

This structure applies to any advance duration (e.g., 3 months, 6 months, 9 months).

Required Policy Record fields:

• Effective Date
  

Note: Commission Frequency does not impact projections when using "Flat Rate with an Advance." Advance rules are determined at the Projection Table level. However, setting the correct Commission Frequency is still important for accurate reporting in the Commissions Not Received Report.

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Percent of Premium with Advance, Then “As Earned” (True Advance, No Prorating)

Note: If the Premium on the Policy Detail tab isn’t stored monthly, you may need to enter the monthly premium in the Commissionable Premium field under Commission Settings.

Projection Table:

1. Timeframe 1: Months 1 to 9 (or however many months the Advance period is).
2. Timeframe 2: Months 10 to End.

Required Policy Record fields:

• Effective Date and Premium (see note above if it’s not monthly)
  
• Commission Frequency (must be set up to Advance + Frequency)
  

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Flat Rate with a Prorated Advance, Then “As Earned” (Monthly), Medicare

This is a common payment structure for some Medicare plans.

Projection Table: Since commissions are prorated from the Policy Effective Date to the following January, an agency may need up to 12 Projection Tables for each Medicare plan with different payment structures.

1. Months 1 to 1: Enter the full advance.
2. Months 2 to (X): Enter $0 depending on how many months to get through December.
3. From January onward: Enter the standard monthly.

Examples

Policy with an Effective Date of January 1

Policy with an Effective Date of February 1

From March and onward, decrease the Months From Effective Dates in Timeframe 2 and Timeframe 3 by 1.

Month	Timeframe 2	Timeframe 3
January	2-12	13-Forever
February	2-11	12-Forever
March	2-10	11-Forever
April	2-9	10-Forever
May	2-8	9-Forever
June	2-7	8-Forever
July	2-6	7-Forever
August	2-5	6-Forever
September	2-4	5-Forever
October	2-3	4-Forever
November	2-2	3-Forever
December*	1-1	2-Forever

*Only two timeframes are needed for December. Timeframe 1 would be 1-1; Timeframe 2 would be 2-forever.

Required Policy Record fields:

• Effective Date
  

Optional Policy Record fields:

• Commission Frequency (nice to have for the Commission Not Received Report)