Understanding Online Tutoring Platforms: A Guide to Commission Models
Introduction
Welcome to the world of online tutoring! As a tutor, you possess a passion for sharing knowledge and a unique skill set that can change lives. But navigating the digital landscape to find the right platform can be complex.
With so many options available, each with a different financial model, how do you choose the one that truly values your expertise and supports your growth? This guide is designed to demystify the world of tutor commissions and platform features. We believe that an informed tutor is an empowered tutor. By understanding the different models, you can find a genuine partner that helps you build a rewarding and sustainable tutoring business.
Our Philosophy: Why We Built TEO Academy
This philosophy is at the very heart of TEO Academy. Our founders, created this platform out of a shared belief that there had to be a better way.
"We founded TEO Academy because, as experienced trainers ourselves, we knew there was a better way to support both students and tutors."
See How Different Commission Models Affect Your Earnings
It can be helpful to see the real-world impact these different percentages have on your take-home pay. Enter your desired hourly rate below to compare how various commission structures would affect your earnings for a single lesson.
Tutor Take-Home Pay Calculator 💰
| Company & Tier | Commission Rate | Your Take-Home Pay |
|---|---|---|
| TEO (Your Students August) | 10% | 0.00 |
| TEO (Standard Rate Students) | 14% | 0.00 |
| Preply (New Tutor) | 33% | 0.00 |
| Preply (21-50 hrs) | 28% | 0.00 |
| Preply (51-200 hrs) | 25% | 0.00 |
| Preply (201-400 hrs) | 22% | 0.00 |
| Preply (400+ hrs) | 18% | 0.00 |
| italki | 15% | 0.00 |
| GoStudent | 45% | 0.00 |
| Wyzant | 25% | 0.00 |
| Outschool | 30% | 0.00 |
Decoding Common Commission Models
Now that you have a clearer picture of the numbers, let’s explore the models in more detail. Online tutoring platforms typically take a portion of the lesson fee to operate, but how they do this varies significantly.
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The Flat Commission Model
This is one of the most straightforward models. The platform takes a fixed percentage of your hourly rate for every lesson. For example, if a platform's commission is 20% and your rate is £40 per hour, you receive £32. Its key advantage is predictability; you always know exactly what you will earn.
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The Sliding Scale Commission Model
This model rewards loyalty. The commission rate starts higher and decreases as you teach more hours. For instance, a new tutor might start with a 33% commission, which could drop to 18% after teaching over 400 hours. This incentivises tutors to build their business on a single platform.
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The "First Lesson" Commission Model
Some platforms take a 100% commission on the first lesson with every new student. The platform’s rationale is that this fee covers the marketing costs to bring that new student to you. After this, the commission usually reverts to a different model.
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The Student Subscription Model
In this model, students pay a monthly subscription fee to the platform to contact tutors. Tutors often get to keep 100% of their advertised lesson fee, as the platform makes its money from student subscriptions.
Beyond Commission: A Platform's True Value
While the financial model is crucial, it’s only one piece of the puzzle. The best platform isn’t just a payment processor; it’s a partner that provides the tools, support, and autonomy you need to deliver outstanding lessons.
This is where we believe TEO Academy stands apart. Our commitment is simple: to provide a first-class platform where talented tutors can thrive, supported by a fair system that offers an excellent financial return.
How We Deliver on Our Promise
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Empowering Tutors with Superior Teaching Tools
A video call is one thing, but a truly interactive classroom is another. We equip our tutors with Lesson Space, a purpose-built virtual classroom designed for education. Unlike standard video conferencing, Lesson Space offers a suite of collaborative tools:
- A Leading-Edge Whiteboard: Work through problems in real-time, draw diagrams, and annotate documents together. It’s a dynamic, shared workspace that makes learning active.
- Seamless Document Sharing: Upload and work on PDFs, Word documents, or presentations directly within the lesson, without clunky screen-sharing.
- Engaging Video Integration: Seamlessly integrate YouTube videos directly into your lessons to bring concepts to life with real-world examples or expert demonstrations.
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Giving You Control Over Your Business
We believe you know best how to manage your relationships with your students. That’s why our platform gives you the autonomy you deserve.
A unique feature at TEO Academy is the ability for you to give discounts to your students directly, whenever you choose. Want to reward a long-term student or run a promotion? You can do so instantly. It’s your business, and we provide the tools for you to run it your way.
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A Fair, Transparent Financial Partnership
Our model is built on the experiences of our founders. Our financial structure is designed to be simple, fair, and transparent, ensuring you receive an excellent return for your expertise. We're not just a platform; we are a community that champions and supports its tutors.
Making Your Choice
Choosing an online tutoring platform is a significant decision. As you explore your options, we encourage you to look beyond the headline commission rate and consider the entire ecosystem. Ask yourself:
- Does this platform provide the tools I need to teach effectively?
- Does it give me the autonomy to manage my own student relationships?
- Does it feel like a partner invested in my success?
At TEO Academy, our answer to these questions is a resounding yes.
We invite you to explore our community and discover a platform that was built by tutors, for tutors.
