Profit Split
The percentage of profits a funded trader keeps versus the percentage retained by the prop firm, typically ranging from 80% to 100%.
What is Profit Split?
The profit split defines how much of your funded-account earnings you keep versus how much the prop firm retains. It’s expressed as a ratio (e.g., 80/20 means trader 80%, firm 20%) or just as the trader’s percentage (e.g., “90% profit split”).
This is the headline number every prop firm advertises, but it’s only one component of effective payout economics. A 100% split sounds amazing — until you realize it only applies to the first $25K, drops to 90/10 after, and requires you to clear a $2,500 safety net first. Meanwhile a firm offering 80/20 with no buffer, daily payouts, and no consistency rule may put more money in your pocket faster.
The split is calculated on net profit since your last payout in most cases — not lifetime account profit. So if you withdraw $5,000 (your 80/20 share of $6,250 in net profits), the next payout calculation starts fresh from your post-withdrawal balance.
Splits are typically locked at account purchase. Upgrading from PRO to PRO+ at TPT bumps the split from 80/20 to 90/10. Apex’s split structure is fixed at 100% on first $25K, 90% after, regardless of which evaluation tier you bought.
How Profit Split works
Standard mechanics: When you request a payout, the firm calculates eligible profit (net profit minus any retained buffer), splits it according to your account’s percentage, and pays you your share. The firm’s share covers infrastructure costs, broker commissions paid on your behalf, the cost of capital, and profit margin.
Tiered splits (the 100% promo): Apex’s structure is the most common tiered model. You keep 100% of the first $25,000 in profits across the lifetime of the account, then the split drops to 90/10. This sounds generous but the math works out roughly: a trader earning $5K/month hits the $25K threshold by month 5 and is on 90/10 from there. Over a 12-month run earning $60K total, the trader keeps $25K (first $25K at 100%) + $31,500 (next $35K at 90%) = $56,500. Versus a flat 90/10 firm: $54,000. Difference: $2,500. Worth caring about, but not life-changing.
Buffer mechanics: Most firms require you to clear a profit buffer (equal to the max drawdown) before the split applies. TPT’s PRO accounts require $2,000 buffer on a $50K account. So profits above starting balance + $2,000 split 80/20; profits within the buffer can only be withdrawn at account closure (and even then, only 80% of the buffer is returned after 60 trading days, 50% before).
Effective rate: The headline split overstates take-home for buffered firms. On a $50K TPT PRO account: trader earns $5,000 in profit. Buffer ($2,000) is locked. Eligible: $3,000. Trader keeps 80% × $3,000 = $2,400. Effective rate: 48% of total profit, not 80%.
Worked example
Scenario A — Apex $50K funded, first $25K of lifetime profits:
- Trader earns $8,000 in net profit
- Split: 100% (under the $25K threshold)
- Trader keeps: $8,000
- Apex keeps: $0
Scenario B — Apex $50K funded, after first $25K threshold cleared:
- Trader earns $8,000 in net profit (now in 90/10 territory)
- Split: 90/10
- Trader keeps: $7,200
- Apex keeps: $800
Scenario C — TPT $50K PRO, with buffer mechanics:
- Trader earns $5,000 in net profit
- Buffer (max drawdown = $2,000): retained until account closure
- Eligible profit for split: $3,000
- Trader keeps 80%: $2,400
- TPT keeps 20%: $600
- Buffer ($2,000): held; returned 80% ($1,600) at account closure if 60+ trading days completed
Lesson: Apex’s 100%/90% structure on a $8,000 month outperforms TPT’s headline 80/20 because TPT’s buffer eats $2,000 of that into a separate calculation. Compare effective rates, not headline rates.
Profit Split vs related concepts
Side-by-side comparison of Profit Split against the most commonly confused alternatives.
| Concept | Definition | Category |
|---|---|---|
| Profit Split this term | The percentage of profits a funded trader keeps versus the percentage retained by the prop firm, typically ranging from 80% to 100%. | Rules & Risk |
| Consistency Rule | A rule limiting how much of your total profit can come from a single trading day, designed to prevent payout cycles built on one lucky session. | Rules & Risk |
| Profit Target | The profit amount or percentage required to pass an evaluation phase, typically 6-10% of the account size depending on firm and product. | Rules & Risk |
| Activation Fee | A one-time fee charged by most prop firms to activate the funded account stage after passing the evaluation, typically $85-$200. | Fees & Costs |
How major prop firms handle Profit Split
Every firm implements profit split differently. Here's the firm-by-firm breakdown — DGT-trusted firms surface first, with implementation notes for each.
| Firm | How they handle it | Rating |
|---|---|---|
| Apex Trader Funding DGT TRUSTED | 100% on the first $25,000 of lifetime account profit, then 90/10 after that. Payouts processed via Deel — typically 5-10 business days. No buffer requirement on the split calculation itself, but trailing drawdown safety net rules apply separately. | |
| Take Profit Trader DGT TRUSTED | PRO accounts: 80/20 split with buffer requirement (account must exceed starting balance + max drawdown for profits to be withdrawable). PRO+ accounts: 90/10 split with NO buffer requirement. PRO+ is invitation-only based on PRO performance. | |
| Tradeify DGT TRUSTED | Standard 90/10 profit split on funded accounts (Growth and Select). Daily payouts available on most account types. Verify exact split per account product on tradeify.co as Tradeify periodically runs promo splits. | |
| Lucid Trading DGT TRUSTED | Profit split varies by account product — typically 80-90% to trader. Lucid prioritizes fast payouts (often within hours) over headline split percentage, which makes the effective rate competitive. | |
| Alpha Futures DGT TRUSTED | Standard profit split with consistency-rewarding payout policies. DGT-trusted for long-term reliability — Alpha's payout history is one of the cleanest in the industry. | |
| FundedNext DGT TRUSTED | Profit split varies by account product on the futures expansion. Verify on fundednext.com as the futures vertical was recently expanded with revised rule sets. |
Why traders fail Profit Split
Comparing headline splits without checking buffers. A firm advertising “90/10 profit split” with a $5,000 buffer requirement on a $50K account effectively pays a much lower rate on early payouts than a firm with 80/20 and no buffer.
Forgetting the split is on NET profits. Commissions, swap fees, platform costs — all deducted before the split is calculated. A trader netting $6,000 gross may have $5,400 after commissions, then 80/20 splits it to $4,320 — not $4,800.
Assuming the tiered 100% promo is permanent. Apex’s 100% on first $25K is a one-time lifetime threshold per account, not a recurring monthly perk. Once you cross $25K cumulative, you’re on 90/10 for the rest of that account’s life.
Not factoring payout speed into the math. A 90/10 split with payouts processed in 5-10 business days has lower IRR than an 80/20 split with same-day payouts. If you’re compounding payouts back into capital deployment elsewhere, payout speed matters more than the percentage.
Frequently asked questions about Profit Split
What's the average profit split for futures prop firms?
Most futures prop firms offer 80/20 to 90/10 splits. Apex's 100% on first $25K is the most generous starter promo. Pure 100% lifetime splits do not exist in legitimate prop firms — that's a red flag for unsustainable economics.
Is a higher profit split always better?
Not necessarily. Buffer requirements, payout speeds, and consistency rules change effective payout economics. A 90/10 split with a $5K buffer and 30% consistency rule may pay less in practice than an 80/20 with daily payouts and no consistency rule.
How is profit split calculated?
On net profit since your last payout (or since account opening if no prior payouts). Net profit means gross trading profit minus commissions, fees, and any retained buffer. The trader's percentage is applied to that net figure.
Does the profit split change after payouts?
Generally no — the split is locked at account purchase. Apex's tiered structure is the main exception: 100% applies until the $25K lifetime threshold, then drops to 90% permanently. TPT's split changes only on PRO+ promotion (80/20 → 90/10).
Do I have to pay taxes on the split?
Yes. The trader's share of the split is taxable income in your jurisdiction. Most US prop firms issue 1099 forms; international firms may not. Consult a tax professional — this is not financial advice.