Brokerage, lending & investing

Books and taxes for mortgage brokers.

An origination fee paid by the borrower, lender-paid compensation on a different loan, a processor's fee split, and a loan that fell out of the pipeline after weeks of work. Gus sorts all of it, an accountant checks every transaction, and you get one number a month.

Book a call What we handle
  • From $197 a month
  • An accountant on every transaction
  • Cancel whenever
AprilExample month
$12,700
what you made

April brought in $12,700. The Alvarez loan paid lender compensation instead of a borrower fee, so I logged it under the same income line, since either way it counts the same to you.

  • Wholesale lender payoutLender-paid compensation
  • Borrower origination feeBorrower-paid origination fees
  • Processor split payoutProcessor and staff splits
  • Encompass subscriptionLoan origination software
  • NMLS renewal feeLicensing and NMLS costs
Money in$37,500
Money out$24,800
Set aside for taxes$2,900
An example month. Yours will have your numbers.

Why your books are different

Mortgage broker books go wrong between two ways of getting paid.

One loan pays you a fee from the borrower at closing, the next pays you compensation from the wholesale lender instead, and a third falls out of the pipeline after weeks of processing with nothing to show for it. When the books do not track a loan from application to funding, no single month tells the real story.

  1. 1

    Borrower fees and lender compensation get treated differently for no reason

    Whether a loan pays you through a borrower-paid origination fee or lender-paid compensation, it is the same kind of income to you, but if one gets booked as a fee and the other as something else entirely, your income picture gets inconsistent loan to loan.

    What we doBooks both borrower-paid fees and lender-paid compensation as the same kind of commission income, since the split just depends on how that particular loan was structured.
  2. 2

    A processor or staff split disappears into general payroll

    Paying a loan processor a split on each file they work, rather than a flat wage, is common, but if it is booked as regular payroll, you lose the ability to see what each closed loan actually cost you in staff time.

    What we doKeeps processor and staff splits tied to loan volume in their own line, so the real staffing cost per closed loan is visible.
  3. 3

    A loan that falls out of the pipeline looks like wasted weeks

    Weeks of processing, underwriting, and paperwork on a loan that ultimately does not fund can look like time and cost with nothing to show for it, when in a broker's business some fallout is a normal part of the pipeline.

    What we doTracks pipeline activity across the month, not just closings, so a loan that falls out reads as normal pipeline attrition, not a sign something is wrong.
  4. 4

    NMLS and compliance costs get lost in general software spend

    License renewal, continuing education, and compliance software are ongoing costs of staying licensed to originate loans, and mixed in with everyday tools, they are easy to lose track of.

    What we doKeeps licensing and compliance costs in their own line, separate from general software, so the real cost of staying licensed is visible.

Your categories

The categories Gus keeps for a mortgage broker.

Set up once for how a loan actually pays you, whichever side pays it. You never pick a category. He does, and an accountant checks it.

Money in

  • Borrower-paid origination feesFees paid directly by the borrower at closing.
  • Lender-paid compensationCompensation paid by the wholesale lender instead of the borrower.
  • Referral fees receivedFees from real estate agents or other professionals sending a borrower your way.
  • Rate lock extension feesFees collected when a borrower needs to extend a rate lock past its original term.

Money out

  • Processor and staff splitsPay tied to loan volume for processors and loan officer assistants.
  • Loan origination softwareEncompass, Calyx, or a similar system for managing the pipeline.
  • Licensing and NMLS costsLicense renewal, continuing education, and state registration fees.
  • Credit report and verification costsCosts for pulling credit and verifying borrower income and assets.
  • Marketing and referral partner costsCo-marketing with real estate agents and lead generation spend.

What we watch for you

  • Commission retained per loan

    What you actually earned on each closed loan, whether paid by the borrower or the lender.

  • Pipeline fallout rate

    How many loans in process do not end up funding, since some fallout is normal.

  • Processor cost per closed loan

    What staff splits actually cost against each loan that closes.

  • The set-aside

    What you will owe across borrower fees and lender compensation, tracked every month so April holds no surprise.

Ask Gus

Things mortgage brokers ask Gus.

Text him like you would text anybody. He answers in plain English, and when a question is above his pay grade, an accountant looks and gets back to you.

The Alvarez loan paid me through lender compensation instead of a borrower fee. Does that change how it is taxed?

No. Either way it is commission income to you, so I book it the same regardless of which side of the transaction actually paid it.

A loan I spent three weeks processing just fell out. Does that mean I wasted the month?

Not necessarily. Some pipeline fallout is normal in this business. I track your whole pipeline, not just closings, so one fallout does not read as a failed month.

Should I set up an S corp now that my loan volume has grown?

That is above my pay grade. A real accountant looks at your actual numbers and tells you if the switch makes sense this year.

The tax side

The tax side of a mortgage brokerage.

Most of what matters here is that commission income is commission income no matter who pays it, and keeping staff splits visible against loan volume.

What your return has to get right

Your accountant signs it, so it gets done right the first time.

  • Self-employment tax on commission incomeCommission income, whether paid by the borrower or the lender, carries self-employment tax at 15.3 percent up to the Social Security wage base of $184,500, for brokers paid as independent contractors.
  • Quarterly estimated paymentsWith commission landing unevenly across the pipeline, estimated payments due April 15, June 15, September 15, and January 15 need a real look at expected closings.
  • The pass-through deductionMost independent brokers can take up to 20 percent of business profit off their taxable income. It comes out right when origination fees and lender compensation are booked correctly all year.
  • Contractor 1099s for processorsA processor or assistant paid a split rather than a wage, and not on payroll, gets a 1099-NEC once paid $2,000 or more in 2026.

Deductions mortgage brokers miss

Your bookkeeper knows what to look for in your statements. You never have to.

  • NMLS license and renewal fees
  • Continuing education courses
  • Loan origination software
  • Credit report and verification costs
  • Processor and staff splits
  • Co-marketing with real estate agents
  • E and O insurance
  • Phone and data plan
  • Home office for a dedicated workspace
  • Professional headshots and marketing
  • Referral fees paid
  • Compliance and audit software

General information about 2026 federal rules, not advice for your business. Your accountant looks at your actual numbers before anything gets filed.

All year, not just April

A mortgage broker's year, kept every month.

Loans close on their own timeline through underwriting and funding. Your team keeps you ahead of the tax side either way. Every month in between, your bookkeeper closes the books and speaks up the moment something looks off.

  1. January

    Plan the year

    Last year's return gets started, processor 1099s go out, and a monthly set-aside is planned for the year ahead.

  2. April

    Filed. Done.

    Your return is filed and signed. No surprise bill, because the set-aside has been running since January.

  3. July

    Halfway check

    Where you stand, what you will owe, and whether refinance or purchase volume changed the number.

  4. October

    Before the winter pipeline thins

    Purchase volume typically slows heading into the holidays while refinance activity depends on rates. Gus looks at NMLS renewal timing and software worth buying before the calendar turns.

What you get

Starts at$197a month

What you pay depends on what your business needs, and it does not move after that, busy season or slow. No hourly bills, no surprise invoices, no setup fee.

Book a call
  • Monthly bookkeeping

    Every transaction sorted into categories set up for mortgage brokers. You never categorize a thing.

  • An accountant checks every transaction

    Real review, every month, before your books close. Not a spot check.

  • Your business tax return, filed

    Prepared, reviewed, and signed by that same accountant every year.

  • The monthly number

    What you made, what you spent, what to set aside for taxes.

  • Your own bookkeeper

    A real person assigned to your business, in the app whenever you need them. No hold music.

  • On your books all year

    Every month, not just in April. Your team speaks up whenever something is worth your attention.

  • Cancel any time

    No contract. No cancellation call. Your books are yours.

Straight answers

Questions mortgage brokers ask first.

Does it matter for my books whether a loan pays through borrower fees or lender compensation?

Not for how it is booked. Both are commission income to you, and Gus tracks them the same way regardless of which side of the transaction actually paid.

How does Gus handle a processor I pay a split to instead of a flat wage?

The split is tracked against loan volume in its own line, so you can see the real staffing cost per closed loan, not just a lump payroll number.

A chunk of my pipeline falls out every month before closing. Does that hurt how my books look?

No. Gus tracks pipeline activity across the whole month, not just closings, so normal fallout reads as part of the business, not a warning sign.

I pay real estate agents for referrals sometimes. Does that need a 1099?

If an agent or referral partner is paid $2,000 or more in a year and is not on your payroll, yes, they get a 1099-NEC by January 31. Gus keeps that list running.

My NMLS renewal and continuing education costs are scattered across different receipts. Does Gus sort those?

Yes. Licensing and continuing education costs are kept in their own category, separate from general software and marketing spend.

My books have not been touched in months across dozens of loans. Can Gus catch up?

Yes. Send the bank statements and commission reports you have. Gus sorts every loan's income and cost, and most brokers know where they stand within a couple of weeks.

Is a real accountant checking my books?

Yes. You get your own bookkeeper, Gus does the first pass on every transaction, and an accountant checks every one before your month closes. That same accountant prepares, signs, and files your business return. Goatkeeper is not a CPA firm, and we never pretend a person looked when they did not.

What does it cost, and can I cancel?

It starts at $197 a month, depending on what your business needs. No setup fee, no hourly bills, no contract. Cancel any time from the app, and your books go with you.

More in brokerage, lending & investing

We keep books for the business next door too.

What makes a bookkeeper worth paying for Every business we keep books for

Book a call

Pick a time. That's the whole signup.

Fifteen minutes with a real person on our team. They look at where your books are, tell you straight what it takes to get caught up, and get you set up on the spot if it fits.

  • $197 a month to start
  • An accountant on every transaction
  • Cancel whenever