Broker Tools

Trail Commission Calculator (Australia)

Project the recurring trail commission earned on a single Australian home loan as the principal amortises. Enter the loan amount, interest rate and term, then the lender's trail rate (typically 0.15% p.a. of outstanding balance, paid monthly). The calculator returns Year 1 trail income, cumulative trail over the projection horizon, the year-by-year trail curve, and an optional 10% GST gross-up if the broker is GST-registered. Useful for brokers sizing the lifetime value of a single deal, owners sense-checking aggregator-reported trail figures, or new brokers learning how trail compounds (and decays) over the life of a loan.

Trail Commission
Project the annual trail commission earned on a single mortgage as the principal amortises. Australian convention: trail is typically 0.15% p.a. of outstanding balance, paid monthly.
$500,000
$
6.25%
%
30 yr
yr
0.15%
%
5 yr
yr
Year 1 Trail
$821
Total Trail (5 yr)
$3,997
Avg Monthly Trail
$66.62
Effective Rate
0.150% p.a.
Trail by year (incl. GST)
Year 1
$821
Year 2
$811
Year 3
$800
Year 4
$789
Year 5
$777
Trail compounds down, not up — as the borrower pays principal each month the outstanding balance shrinks, and so does the monthly trail. Year-on-year decline depends on the rate and term. Real-world books also have run-off (refinances and discharges) which this single-loan model doesn't capture — for that, run the calculation per loan and aggregate.
These results are indicative estimates only. They do not constitute financial advice. Actual repayments, costs, and savings may vary. Always verify with a licensed Australian mortgage broker.