Clarity for Compensation Act
Sponsored By: Representative Nunn (IA)
Introduced
Summary
An exemption for personal services entities owned by registered representatives. This bill would treat a personal services entity as not being a broker when the entity only receives compensation for a registered representative's services and meets specific controls on ownership, payments, records, and supervision.
Show full summary
- Registered representatives and their families: Would be able to route compensation to a personal services entity they own for administrative purposes and benefits. Ownership must be limited to the representative, immediate family, or entities they wholly own and must be governed by a written agreement.
- Broker-dealers and firms: Would retain responsibility to approve or instruct payment amounts and timing, keep records of payments, and maintain supervision and control over the registered representative.
- Regulators and self-regulatory organizations (SROs): Would be able to request the entity's books and records that show compliance and the Securities and Exchange Commission could impose additional rules.
- Timing: The exemption would take effect 180 days after enactment.
Your PRIA Score
Personalized for You
How does this bill affect your finances?
Sign up for a PRIA Policy Scan to see your personalized alignment score for this bill and every other piece of legislation we track. We analyze your financial profile against policy provisions to show you exactly what matters to your wallet.
Bill Overview
Analyzed Economic Effects
1 provisions identified: 0 benefits, 0 costs, 1 mixed.
New rules for representative-owned entities
If enacted, this bill would add an exception so a personal services entity (PSE) owned by a registered representative would not be treated as a broker solely for receiving that representative's compensation. The broker would need to approve the amount and timing of payments, keep records, and maintain supervision of the representative. The PSE could not hold itself out as a broker or do other broker/dealer activity, and the broker and PSE would need a written agreement about compensation responsibilities. The SEC and the representative's self-regulatory organization could request the PSE's books and records to check compliance. This change would take effect 180 days after enactment.
Free Policy Watch
You just read the policy. Now see what it costs you.
Pick a topic. PRIA runs your household against live legislation and sends you a free personalized readout.
Pick a topic to get started
Sponsors & CoSponsors
Sponsor
Nunn (IA)
IA • R
Cosponsors
Rep. Meeks, Gregory W. [D-NY-5]
NY • D
Sponsored 1/21/2026
Pettersen
CO • D
Sponsored 4/14/2026
Roll Call Votes
No roll call votes available for this bill.
View on Congress.govLive Policy Activity
LiveSurfaced from PRIA's policy knowledge graph — ranked by signal strength, connected by evidence.
Deep Dive
· Polipedia policy encyclopediaYouth Conservation Corps & Public Lands Corps
The federal government runs two closely related conservation-workforce pipelines on public lands: the Youth Conservation Corps YCC and the Public Lands Corps PLC. YCC is a summer employment program fo
WTO Membership & Uruguay Round Agreements Act
The Uruguay Round Agreements Act URAA of 1994 19 U.S.C. §§ 3501–3624 implemented U.S. membership in the World Trade Organization WTO and incorporated the Uruguay Round trade agreements — the broadest
World Trade Center Health Program (James Zadroga Act)
The World Trade Center Health Program is a federally funded health benefits program that provides free medical monitoring and treatment to those who were exposed to the toxic dust, debris, and fumes f
Workers' Compensation
Workers' compensation is the United States' primary workplace injury system — a no-fault insurance program where employees who are injured on the job receive medical coverage and partial wage replacem
Take It Personal
Get Your Personalized Policy View
Take the PRIA Score to see how policy affects your household, then upgrade to PRIA Full Coverage for year-round monitoring.
Already have an account? Sign in