LPL Financial recently announced changes to its production bonus targets for the first time in a decade. These adjustments will impact independent advisors who generate substantial fees and commissions, known as "gross dealer concession" in the industry.

As reported by InvestmentNews, LPL has increased the revenue benchmarks that advisors must meet in 2025 to qualify for various bonus levels. For instance, an independent advisor currently earning $750,000 in annual fees and commissions can receive a 4 percent bonus. Under the new guidelines, that same 4 percent bonus will require $1 million in annual revenue—a 33 percent increase, according to InvestmentNews.

Despite the increased targets, LPL has placed a $15,000 cap on the downside, meaning advisors who fail to meet the new standards will not lose more than $15,000 in compensation. In addition, LPL's base pay grid for independent advisors remains unchanged, with advisors still receiving 90 percent of the revenue they generate.

InvestmentNews also reports that LPL has lowered fees on key advisory programs, such as its long-standing Strategic Asset Management (SAM) program. The adjustments primarily affect independent financial advisors, leaving other advisor categories at LPL unaffected.

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