Travel agent commision

[Tanzanite]

Hi i booked my last 2 cruises one throughAAA never got on board credit/This time i had booked with Hotwire cancelled booking cost$250.The travel agent gave me back the money do travel agents make a lot on cruises this cruise was very high priced had 2 cabins high catagory so was it because she got a big commision.Her agency doesnt give any on board credit. Next time thinking of using Dreams unlimited but nervous about paperwork do they do all of it .Hotwire i would have to register passports myself not great with internet thats why i switched but i dont want to use her as i dont get any perks .Ijust booked 9 day vacation didnt get anything again plus when i check other sites vacations are cheaper .Where is best place to book.

 

[ga9497]

travel agents do not get paid a commission unless you actually go on your cruise/ land vacation / package tour, etc. If you book and then cancel they make $0

 

[Tanzanite]

Imeant to say new travel agent gave me money lost on cancelling Hotwire she booked it again same cruise but with her agency did she make alot as she gave me back$250.

 

[clten]

Travel agents make about 10% of the base cruise fare (before port charges, taxes and the mysterious non-commissionable fares). Sometimes if they book a lot with a specific cruiseline, they can earn a few more % as an override commission.

 

[tvguy]

Travel agents make about 10% of the base cruise fare (before port charges, taxes and the mysterious non-commissionable fares). Sometimes if they book a lot with a specific cruiseline, they can earn a few more % as an override commission.

I had heard 6%, but either way, given that a typical Disney cruise costs thousands, your travel agent is making hundreds of dollars in commission on your booking. So all travel agents can afford to kick back a little cash for an OBC or nice cabin gift. Of course a good travel agent will have invested hours in your trip before your go. Ours started by getting the who what when where and how of our trip from us. She did the leg work, called us to confirm that the price, cabin, flights, hotel and ground transportation were what we wanted before she did the booking. She reminded us when deposits were due a week in advance. She reminded us of when excursion bookings opened a week in advance, and all documents went to her for final review to make sure everything was in order before we got them.

 

[luvavacation]

Unless a travel agent is working on his/her own, they aren't going to make 10%, because the agency will always take a cut.

I am a home-based agent for a store-front agency. I make 1/2 of the commission, the agency takes the rest. Because I am home-based, I am considered a sub-contractor, so I also pay my own taxes out of my commission. For example, say the cruise line pays $500 in commission, I am paid $250, then take out whatever my family's tax rate is for that year, and there you have it. Whether I worked 30 minutes on putting together a trip or a week, no matter the amount of calls or lack of calls or changes and redirection of plans, that is my pay (and no social security or insurance).

This works for me, I get to stay home with my family, my clients know I don't have regular office hours, so they love it, too. The pay is not much considering the hours I put in, but when a client gets home and tells me that they "just took the best vacation, thanks for making it happen", well, that's why I do this!

Other agencies may take a different percentage of commission, and some agents are paid hourly, not per commission. I will say, though, that if I have a client on a DCL vacation, thanks to the higher commission, I will offer them something once they get on the cruise. It is harder to do on a lower end cruise line, as commissions are much less.

Also, the price of the cruise is not what the commission is based on. Each cruise line has "NCF", or non-commissionable fees. These are like service fees (or whatever non-explanation they give). More cruiselines are increasing their NCFs, thus decreasing what is available for commission.

If your travel agent is giving you money back or shipboard credit or whatever type of "thank you", stick with that person. That agent values your business, and you aren't just another paycheck to that agent.

 

[Dianatlol]

Our TA gave us a "gift" this year added for my B-day... it was so sweet. We sent her a thank you gift...

 

[tvguy]

Unless a travel agent is working on his/her own, they aren't going to make 10%, because the agency will always take a cut.

I am a home-based agent for a store-front agency. I make 1/2 of the commission, the agency takes the rest. Because I am home-based, I am considered a sub-contractor, so I also pay my own taxes out of my commission. For example, say the cruise line pays $500 in commission, I am paid $250, then take out whatever my family's tax rate is for that year, and there you have it. Whether I worked 30 minutes on putting together a trip or a week, no matter the amount of calls or lack of calls or changes and redirection of plans, that is my pay (and no social security or insurance).

This works for me, I get to stay home with my family, my clients know I don't have regular office hours, so they love it, too. The pay is not much considering the hours I put in, but when a client gets home and tells me that they "just took the best vacation, thanks for making it happen", well, that's why I do this!

Other agencies may take a different percentage of commission, and some agents are paid hourly, not per commission. I will say, though, that if I have a client on a DCL vacation, thanks to the higher commission, I will offer them something once they get on the cruise. It is harder to do on a lower end cruise line, as commissions are much less.

Also, the price of the cruise is not what the commission is based on. Each cruise line has "NCF", or non-commissionable fees. These are like service fees (or whatever non-explanation they give). More cruiselines are increasing their NCFs, thus decreasing what is available for commission.

If your travel agent is giving you money back or shipboard credit or whatever type of "thank you", stick with that person. That agent values your business, and you aren't just another paycheck to that agent.

I guess it's a "glass is half full....glass is half empty" comparison. For a lot of us $250 is two full days gross pay, before taxes, social secuirty and insurance ,commute costs and child care costs. But I suspect you have breaks in between bookings so you aren't getting paid that rate for the full week.
My travel agent just retired after 40 years in the business. Worked from home the last 10 years, and said she made good money, plus great perks for free and reduced cost travel. But she is single, and her kids have been on their own for decades.

 

[luvavacation]

Ah, tvguy, I wish I was getting paid that much all the time!

I can't speak for all agents, I am home-based, but a good Disney cruise (or other line in that cost tier) does not come every week, or month! So much of what I do is a hotel night here, car rental there, things that if I am lucky, I will get $10 that week. The last few months, I have made only $35, and I have put in lots more time than just 4 hours (for minimum wage).

But that is what comes with being home-based. Some days, I would love to work in an agency that has constant bookings (instead of being home-based), but that is hard to find in this day of internet savvy folks where many just call an agent for ideas, then take those ideas and book their own trip. But a happy client that loves what I have done more than makes up for that!

And the last few years, reduced trips for agents have been harder to find. I don't make enough to qualify anymore, but then I didn't get into this business for the money, I entered it because I wanted to use my planning skills to help others find the best deal for the best vacation!