REALTOR® Dues Formula

of the National Association of REALTORS®

A commonly asked question by Principals/Designated REALTORS® of member offices is:

“Why do my licensees have to pay dues?”

The answer can be found in the REALTOR® Dues Formula of the National Association of REALTORS®. Since 1972, the National Association has adopted this policy, which is deemed to be the most equitable method of assessing dues proportional to the membership benefits and services derived from the REALTOR® Association. This policy states that the size of a firm is determined by the total number of licensees within it. A “credit” is then given for those licensees who are members of a REALTOR® Board. Principals/Designated REALTORS® pay their own REALTOR® dues in an amount times the total number of all affiliated licensees, minus those who are REALTORS®, meaning those who have voluntarily paid their dues to the Board and enjoy the benefits and services of membership.

One important point to note is that there is no distinction in this formula for “part-timers”, “referrals only”, “seasonal”, “secretaries”, “administrators” or others who just happen to have a license. If a Principal/Designated REALTOR® has a licensee affiliated with the firm, then the Principal’s/Designated REALTOR’S® dues obligation must include an amount based on that licensee. For each licensee that is not affiliated as a REALTOR®, the Principal/Designated REALTOR® will be assessed $468.50 for 2012 on each occurrence.

Principals/Designated REALTORS® may request or require that each of their non-member licensees reimburse them for all or part of the dues that were paid based on their non-member affiliation with the firm.

(REALTOR® isn't a synonym for real estate broker or real estate salesperson. A REALTOR®, simply put, is an individual who has voluntarily sought membership in the REALTOR® Association and abides by the Code of Ethics of the National Association of REALTORS® . A REALTOR® is someone who is licensed as either a salesperson, broker, personal assistant, appraiser, auctioneer, property manager Search for a REALTOR® member of the Greater Providence Board of REALTORS® by clicking here.)