From whom does a sales associate receive their compensation?

A sales associate receives their compensation from the broker. This relationship is fundamental to the structure of real estate transactions in Florida. When a sales associate works under a licensed broker, the broker is responsible for overseeing the sales associate’s activities and ensuring compliance with legal and ethical standards.

The broker collects commissions from the transaction, and it is from this commission that the sales associate is paid according to the terms of their agreement with the broker. This ensures that sales associates are aligned with their broker’s policies and practices, and it establishes a professional relationship that protects both the associate and the brokerage.

Other sources mentioned, like the buyer, seller, or closing agent, do not directly compensate the sales associate. Instead, any payments made by buyers or sellers typically flow through the broker as part of the overall commission structure. Thus, the correct understanding of compensation in real estate highlights the critical role of the broker in managing the financial aspects of transactions.