When a prop firm advertises an "80% profit split," it sounds straightforward. But the path from profit in your account to cash in your bank involves several steps that can change the actual number you receive. Here's a clear breakdown.
What Is a Profit Split?
A profit split is the percentage of trading profits that a funded trader keeps, with the remainder going to the prop firm. An 80/20 split means you keep 80% and the firm keeps 20%.
The profit split only applies to profits above the starting balance — you don't give away 20% of your funded capital, only 20% of the gains you generate.
What Reduces Your Actual Take-Home
1. The Evaluation Fee
The fee you paid to enter the challenge is separate from the profit split. Most firms refund the fee on your first payout, but until then, it represents a real cost that affects your effective take-home from early payouts.
2. Payment Processing Fees
Wise, bank wire, and other payment methods typically charge a small fee (0.5–2%). On a $5,000 payout, this can be $25–$100. Minor but worth knowing.
3. Payout Caps Per Cycle
Some firms cap how much you can withdraw in a single payout cycle. If the cap is 10% of account size and you've made 25%, you'll need multiple payout cycles to extract all your profit.
4. Scaling Plan Conditions
Scaling plans often require you to leave a portion of profits in the account to grow the account size. The "profit" that triggers a scale-up may not be fully withdrawable.
A Realistic Worked Example
$100K Account, 80/20 Split, First Payout
Scaling Up the Split
Many firms offer higher profit splits as you scale or prove consistency:
- Starting split: 70–80%
- After 3–6 months of consistent payouts: 85–90%
- Elite tiers: 90–100% (sometimes available for top performers)
Always check whether the advertised split is the starting rate or the maximum achievable rate. These are often different numbers.
Calculate Your Take-Home
Use the Profit Split Calculator to enter your profit and split percentage and see your exact take-home with a step-by-step breakdown. For multiple accounts, the Payout Calculator lets you aggregate payouts across several funded accounts at once.