How Brokerage Caps Reset: Anniversary Year vs. Calendar Year

A brokerage cap is the most you pay your brokerage in split or flat fees in one cap year. Then it starts over. Some brokerages reset it on your anniversary, the date you joined. Others reset it on January 1. The reset date matters most when you switch mid-year, because you start a fresh cap at the new brokerage even if you already paid toward your old one.

What is a cap year?

Your cap year is the 12 months your cap counts over. Everything you pay toward the cap in that window adds up. When you hit the cap, the split or flat fee stops for the rest of that window. When the window ends, you start again at $0 paid.

There are two common ways to set the window:

• Anniversary year. It starts on the day you joined. Join on June 1, and your cap year runs June 1 to May 31.
• Calendar year. It runs January 1 to December 31 for everyone, no matter when you joined.

Keller Williams uses the anniversary year: after an agent caps, they keep 100% for the rest of their anniversary year. AXEN does too. Ask every brokerage which date it uses, and get it in writing.

What is good and bad about an anniversary reset?

• Good: a full 12 months to reach the cap, no matter what month you join.
• Good: no rush in December, and no cap reset in your busy season if you joined in a slow month.
• Bad: your cap year won't match your tax year, so tracking takes one more step.

What is good and bad about a calendar reset?

• Good: easy to track. Your cap year and tax year are the same.
• Bad: join in September and you have only four months before it resets. You may never cap that first year.
• Bad: if your best months are spring, you pay the most right when the new year's cap starts.

What happens to your cap when you switch brokerages?

Your old cap stays behind. Whatever you paid toward it is gone. At the new brokerage you start at $0 paid, and the new cap year starts the day you join (if it uses anniversary dates) or runs to December 31 (if it uses the calendar).

Here is an example. Say you paid $10,000 toward a $16,000 cap at your old brokerage by June. You move to a brokerage with a $6,000 cap. You start at $0 there and owe up to $6,000 more over your new cap year. Ask yourself whether the deals left in your year make the move worth it. The answer is often yes for agents with a lot of deals ahead, and no for agents a few deals from capping.

Some brokerages credit what you already paid. At AXEN, the Elite plan comes with a reverse sign-on credit for what you paid toward your old brokerage's cap this year. Ask any brokerage how its credit works, in writing.

Moving soon? Read the switching brokerages checklist and how to transfer your license.

What counts toward the cap?

This is where caps differ the most. Ask:

1. Does every deal count, including leases, referrals and small deals?
2. Do per-file fees count, or only the split or flat fee?
3. Do team members get a lower cap, and what are the conditions?
4. What do I pay on each deal after I cap?
5. Does the cap reset on my join date or January 1?

After-cap fees can add up. On each company's published schedule as of September 2026, eXp charged $250 or 20% a deal after the cap, whichever is less, until $5,000 of those fees, then $75. Real charged $285 or 15%, whichever is less. AXEN's file fee is $0 after the cap, but its $295 admin fee stays on every sale. See every fee in hidden brokerage fees to ask about.

How do you plan around your reset date?

• Put the date in your calendar. Know the day your cap year ends.
• Track what you paid. Your brokerage should show it. If not, keep your own sheet.
• Time a move with your old cap in mind. If you are close to capping, finishing the cap year before you move can save money.
• Don't move closings to game the date. Clients come first, and pushing a closing can cost you the deal.

How does the AXEN cap work?

AXEN Realty has no split. On Pro, you pay $500 a closing until you hit a $6,000 cap. On Elite, $1,000 a closing until $12,000. After the cap, the file fee is $0 until your AXEN anniversary, the day you joined, not January 1. Every file fee counts toward the same cap: full sales, small sales, leases and referrals. The $295 admin fee is separate and applies on every sale. See the pay plans page, how fees compare and brokerages where agents keep 100%.

Quick answers

Do brokerage caps reset every year?

Yes. A cap counts over a 12-month cap year, then starts over at $0. Your brokerage sets whether that year starts on your join date or January 1.

What is an anniversary cap year?

A cap year that starts on the day you joined the brokerage. Join on June 1 and your cap runs June 1 to May 31, then resets.

Does my cap transfer when I switch brokerages?

No. You start at $0 paid at the new brokerage. Some brokerages offer a credit for what you paid toward your old cap, so ask.

Which is better, anniversary or calendar year?

For a mid-year move, an anniversary year is usually better because you get a full 12 months to reach the cap. A calendar year is simpler to track.

AXEN pay plans · Compare brokerage fees · Switching checklist

Sources and further reading

Updated November 14, 2026. We check these sources each time we update this guide. See our editorial policy.

1. KW Outfront: Why Top Agents and Teams Join KW Franchises
2. SEC EDGAR: eXp Realty (USA) Policies and Procedures (Exhibit 10.14)