Profit split in prop-firm evaluations — what 80%, 90%, scaling actually mean

Profit split in a prop-firm evaluation is the percentage of trading profits the trader keeps; the firm keeps the remainder. The headline number is what marketing pages lead with, but several attached rules — scaling tiers, withdrawal cycles, qualifying-profit definitions — determine what the trader actually receives.

This is a glossary entry; for the broader prop-firm framework, see What is a prop firm evaluation.

The structure across major firms

Profit splits at the major firms in 2026:

• FTMO — starts at 80% profit split for funded traders, scaling toward 90% with continued performance.
• Topstep — 100% profit share on the first $10,000 in payouts, then 90% thereafter.
• Apex Trader Funding — 100% on the first $25,000 in cumulative profits, 90% thereafter.
• FundedNext — typically starts around 80%, scaling up similarly to FTMO.

The "100% on first $X" structure at Topstep and Apex is the strongest first-payout incentive in the segment, designed to get traders to their first withdrawal quickly.

What "split" actually applies to

The split is on trading profits earned in the funded account, not on the trader's evaluation-fee outlay or on simulated practice. It applies after:

• The evaluation has been passed
• The trader is onboarded onto the funded account
• Trades have been executed in the funded account producing realized P&L

What it doesn't include:

• The evaluation fee (typically refunded with first payout, but separate from the split)
• Practice / demo trading prior to funding
• Profits voided by rule violations (drawdown breach, news-trade prohibitions, wash-trading flags)

Withdrawal cycles

Profits don't sit in the funded account indefinitely as "yours." They have to go through a payout cycle:

• Most major firms run monthly or every-other-week payout cycles. Profits earned during the cycle are eligible for withdrawal at cycle end, subject to minimum-trading-days requirements.
• First withdrawal is often refunded together with the evaluation fee. This is the "fee comes back with first payout" mechanic that makes the firm-economics clean for traders who reach payout.
• Some firms hold a "buffer" portion of profits. A percentage stays in the account for risk management; the trader can withdraw the rest. The buffer effectively raises the trader's working capital but lowers the immediate cash payout.

For practical EV calculation: a $10,000 monthly profit at 90% split = $9,000 to the trader, but $9,000 minus any buffer hold, minus any trade-based costs (slippage, fees) the firm passes through, possibly minus payment-rail fees. The "real" take is typically 85-95% of the headline split number after frictions.

Scaling — when the split improves

Most firms have scaling plans that increase the trader's share or unlock higher account sizes after sustained performance. Examples:

• FTMO scaling: continues raising the maximum account size and the profit split tier as a trader maintains profitable months.
• Topstep / Apex: the 100% on first-N-thousand mechanism is essentially a built-in initial scaling — the marginal split drops to 90% only after the trader has reached the threshold.
• Some firms offer per-program scaling tiers that unlock additional capital allocation at specific performance milestones.

Scaling typically requires consecutive profitable months, no drawdown breaches, and active participation through the firm's payout cycles. Skipping months or withdrawing aggressively early can reset the scaling counter on some programs.

Common variations to watch

• Profit split + minimum trading days. Many firms require N trading days per cycle before profits become withdrawable, even if the profit target was met. This locks the trader in for a minimum engagement period.
• Profit split + scaling reset on rule violation. A daily-drawdown breach or news-trade violation can reset the scaling counter even if the account is still alive.
• Different splits across products. A firm may run 80% split on its evaluation product, 90% on its instant-funded product, and different splits on fastest-payout / highest-leverage products. Read the specific program's terms.
• Withdrawal frequency limits. Some firms cap withdrawals to once-per-cycle even if profits accrue throughout. Others allow on-demand within limits.

What to verify before signing

For any specific prop firm and program:

1. Headline profit split — 80%, 90%, 100%-on-first-tier?
2. Scaling plan — what triggers an increase, what resets it?
3. Withdrawal cycle — monthly, biweekly, on-demand?
4. Buffer / hold percentage — what fraction of profits stays in the account?
5. Minimum trading days per cycle — how locked-in is each payout?
6. Rule-violation penalty — does a single breach end the funded account or just void that day's profits?

The headline number alone doesn't tell you what you'll receive. The combination of the six factors above does.

FAQ

What's the highest profit split a prop firm offers? 100% on a defined initial threshold is the highest first-tier rate in the segment — Topstep gives 100% on the first $10,000 in payouts before stepping to 90%; Apex gives 100% on the first $25,000 in cumulative profits before stepping to 90%. After the initial threshold, 90% is the typical ceiling for major firms; some smaller firms claim higher splits but the firm's payout history matters more than the headline.

Is the evaluation fee refundable? Usually yes, on first profit cycle from the funded account. Most major firms refund the evaluation fee together with the first payout. If the evaluation fails, the fee is the firm's revenue. This is the core firm-economics: many traders pay fees, fewer pass, even fewer remain funded long enough to be net-positive — fees from failures fund the payouts of successes.

Does the profit split apply to the evaluation phase too? No. The split applies only to profits earned in the funded account after passing the evaluation. The evaluation phase is typically simulated; demo profits don't translate to payouts. Some firms have "instant funded" products that compress this — read each program's specifics.

How does scaling typically work? Sustained profitable months without rule breaches qualifies a funded trader for higher account sizes and / or improved profit splits. Specifics vary heavily by firm; some scale every 2 months, some every 4. Resets typically happen on drawdown breaches or extended losing streaks.

Last reviewed 2026-05-09 by Eugene Loza.