TradeDay Payout Rules Explained: How Trader Payouts Work

TradeDay simplifies trader payouts with clear rules and minimal restrictions. Here’s what you need to know:

• Profit Sharing: Starts at 80% for the first $50,000 in lifetime withdrawals, increases to 90% for $50,000-$100,000, and 95% for over $100,000. Withdrawals from the buffer zone are split 50/50.
• Minimum Payout: $250 for accounts opened after June 20, 2024.
• Processing: Payouts requested by 5:30 PM CT are processed the next business day. Cryptocurrency payouts are faster, while bank wires take 3–7 business days.
• Account Balance: Ensure your balance exceeds the withdrawal threshold for your account tier.
• Payout Methods: Choose between free US bank wires, $15 international wires, or cryptocurrency options (Layer 1 or Layer 2).

TradeDay prioritizes fast, accessible, and transparent payouts, helping traders focus on performance while managing their earnings efficiently.

TradeDay Prop Funding 2025 Guide – New Accounts, Lower Prices, Great Payout Policy

TradeDay Payout Structure

TradeDay offers a tiered profit-sharing model that rewards traders for consistent performance. As traders increase their lifetime withdrawals, they gain a larger share of their profits, giving them more control over their earnings.

Profit Split Model

TradeDay’s profit-sharing system adjusts based on your lifetime withdrawals, with higher tiers offering better profit splits:

• 80% to trader / 20% to TradeDay for the first $50,000 in lifetime withdrawals.
• 90% to trader / 10% to TradeDay for withdrawals between $50,000 and $100,000.
• 95% to trader / 5% to TradeDay for withdrawals exceeding $100,000.

Withdrawals from the buffer zone follow a 50/50 split, encouraging traders to grow their accounts beyond the buffer zone before withdrawing. This approach promotes disciplined risk management.

Here’s a breakdown of balance requirements for different account tiers:

Understanding these balance thresholds is crucial for planning withdrawals effectively.

Minimum Payout Amount

For accounts opened after June 20, 2024, the minimum payout request is $250. This low threshold provides flexibility, allowing traders to withdraw smaller amounts more frequently or save for larger payouts. Once the minimum is met, payouts can be requested under the specified conditions.

Requirements to Get Paid

To qualify for a payout, you must ensure your account balance exceeds the required threshold for your tier and clear the buffer zone.

Payouts are available immediately after the End of Day settlement, provided you’ve met the requirements. There’s no waiting period or minimum trading days needed before your first withdrawal. However, before requesting your initial payout, you’ll need to complete the Riseworks onboarding process. This one-time setup ensures your payment method is ready and compliant with financial regulations.

Here’s an example: A trader on a $50K Funded Sim account earns $4,000, increasing their balance to $54,000. With a buffer zone set at $52,000, they can request a $2,000 payout while staying above the buffer. After the 80/20 split, they’ll receive $1,600, leaving their balance at $52,000.

If they request $3,000, part of the withdrawal will dip into the buffer zone. The first $2,000 would follow the 80/20 split ($1,600 to the trader), while the remaining $1,000 would follow the 50/50 split ($500 to the trader). This totals $2,100 in payouts.

For Funded Sim traders, payout requests are made directly through the dashboard. Funded Live traders, however, must email fundedtrader@tradeday.com to initiate withdrawals.

Payout Methods and Processing Times

TradeDay handles payouts through Riseworks, offering flexible withdrawal options tailored to both domestic and international traders.

Available Payout Options

TradeDay provides two main payout methods: bank wire transfers and cryptocurrency withdrawals. Each option caters to different trader preferences based on location, speed, and cost.

• Bank Wire Transfers: A traditional choice supporting both domestic and international transactions. Domestic wire transfers within the US are free, while international transfers incur a flat $15.00 fee per withdrawal.
• Cryptocurrency Withdrawals: A faster alternative with two options:
  • Layer 1 (L1): Costs $2.50 plus gas fees.
  • Layer 2 (L2): Free of charge.

This range of options ensures traders can choose the method that best aligns with their financial goals and timelines. Funded Sim traders can request payouts directly through their dashboard, while Funded Live traders need to email fundedtrader@tradeday.com.

How Long Payouts Take

Once a payout request is submitted, TradeDay processes it within 24 hours, provided the request is made before 5:30 PM CT on business days. However, the time to receive funds depends on the payout method:

• Bank Wire Transfers: Typically take 3–7 business days after processing to arrive in your account.
• Cryptocurrency Withdrawals: Processed within 24 hours, though actual timing depends on network conditions.

For Funded Sim traders, payouts are processed after the daily trade report at 4:30 PM CT. Funded Live traders should submit their requests by 11:30 AM CT to ensure same-day processing. Once processed, traders receive a confirmation email with instructions to access their funds via Riseworks.

Payout Method Comparison

Layer 2 cryptocurrency withdrawals stand out for their combination of speed and zero fees. Domestic wire transfers are a reliable option for US traders who prefer traditional banking, while international wire transfers accommodate traders outside the US who need similar services.

TradeDay’s payout methods and processing times reflect a strong focus on providing efficient and cost-effective solutions for traders.

TradeDay Payout Rules and Requirements

Understanding how to meet TradeDay’s compliance standards is key to securing your payouts. These rules are designed to encourage responsible trading while ensuring proper risk management.

Trading Days and Profit Distribution Rules

To qualify for payouts, traders must meet the Active Trading Day (ATD) requirements. This means earning at least $200 in realized profit per day (or $100 for some legacy accounts) and achieving at least 23% of their best day’s profit. During the seven-day evaluation phase, traders need a minimum of 8 Active Trading Days to qualify for their first payout. Additionally, to keep your account active, you must execute at least one trade each week.

Here’s how daily performance translates into ATD credit:

Drawdown and Risk Management Limits

TradeDay enforces strict drawdown limits to protect both traders and their accounts. These include End-of-Day (EOD), Intraday, and Static drawdowns. Trailing drawdown limits adjust as your account grows, stopping once they reach the starting balance. Static accounts, however, maintain a fixed minimum balance. If your account falls below the maximum drawdown limit, your evaluation ends immediately.

Repeated or large withdrawals that leave your account at risk of breaching drawdown limits can be seen as poor account management. Traders with such patterns may not be invited to participate in future evaluations. These rules safeguard your trading performance and ensure your eligibility for payouts.

Banned Trading Activities

Certain trading practices are strictly prohibited on TradeDay to maintain fairness and integrity. These include:

• Automated trading systems (bots)
• Exploiting platform vulnerabilities
• High-frequency scalping
• Order manipulation
• Trading in illiquid markets
• Slippage exploitation
• Unfair software usage
• Hedging
• VPN usage

News trading carries additional restrictions. Positions are automatically closed 2 minutes before and after Tier 1 economic data releases. You also cannot hold positions during major market announcements or within 10 minutes of the Forex market’s close.

Funded traders face further rules, such as avoiding trades within 2% of a price limit and ensuring all positions are closed before the market closes each day. Between October 2023 and March 2024, only 28.2% of traders passed the evaluation, emphasizing the importance of following these guidelines. Reviewing TradeDay’s prohibited trading practices and avoiding unsupported automated systems can greatly improve your chances of maintaining payout eligibility. Sticking to these rules is critical for uninterrupted access to your earnings.

sbb-itb-7b80ef7

US Trader Considerations

Trading with TradeDay as a US-based trader comes with specific requirements to ensure smooth operations and compliance, particularly when it comes to payouts.

Currency and Banking Setup

All payouts from TradeDay are processed in US dollars (USD), making it straightforward for American traders. However, setting up accurate banking details is crucial for timely payments.

Before receiving your first payout, you’ll need to complete onboarding with Riseworks, a third-party service that manages the financial aspects of your trading account. TradeDay requires all funded traders to register with Riseworks before any payout requests are processed.

When submitting your banking information, precision is key. TradeDay offers ACH transfers and wire transfers for payouts. While US bank wire transfers are free, international wires incur a $15 fee.

For those operating as a business, TradeDay allows single-member LLCs to participate. However, accounts cannot be opened for multiple-member LLCs, S-corporations, or C-corporations. If you’re a single-member LLC, you’ll provide your personal details during account setup but can use your LLC’s business information with Riseworks to receive payouts under your business name.

Double-check your routing and account numbers before submission. Errors in banking details can delay payouts by several business days while corrections are processed.

Once your banking setup is complete, you’ll also need to address tax obligations for your trading income.

Tax Requirements for US Traders

All income earned through TradeDay payouts is subject to US tax regulations, and traders are responsible for compliance. The IRS categorizes trading income as business income, so it’s essential to track and report your earnings accurately.

If you’re classified as a sole proprietor, independent contractor, or single-member LLC, you are considered self-employed. This means you’ll need to pay both income tax on your net business earnings and self-employment tax, which is 15.3% (12.4% for Social Security and 2.9% for Medicare).

Additionally, if you expect to owe $1,000 or more in taxes when filing your return, you’re required to make quarterly estimated tax payments. Planning for these payments can help you avoid penalties and manage cash flow effectively.

To stay organized, maintain detailed records of your trading activity, payouts, and business expenses. Examples of deductible expenses include your TradeDay subscription fees, trading software costs, and other business-related costs.

The IRS offers resources through its Self-Employed Individuals Tax Center to help you navigate these requirements. Consulting with a tax professional who specializes in trading income is a good idea, especially if your TradeDay earnings make up a significant portion of your income.

Timing is another critical factor for US traders, especially when it comes to payout deadlines.

Time Zones and Payout Deadlines

TradeDay operates on Central Time (CT), as its headquarters are in Chicago, Illinois. Understanding these time-based requirements is essential for ensuring prompt processing of your payout requests.

• Submit standard payout requests by 5:30 PM CT for processing within 24 business hours. For reference, this is 6:30 PM Eastern Time, 4:30 PM Mountain Time, and 3:30 PM Pacific Time.
• For same-day processing, requests must be submitted by 11:30 AM CT. This earlier deadline ensures your request is handled during the morning processing window.
• Funded Sim payouts follow a different schedule. These are processed after the 4:30 PM CT daily trade report, allowing TradeDay to verify trading performance before releasing funds.

If you’re on the West Coast, keep in mind that the 5:30 PM CT deadline translates to 3:30 PM local time. Setting reminders or submitting requests earlier in the day can help avoid missing the cutoff and delaying your payout to the next business day.

Using QuantVPS for Better Trading Performance

A virtual private server (VPS) plays a vital role in ensuring uninterrupted trading performance. This reliability is crucial for meeting TradeDay’s payout requirements and maintaining steady profitability.

How QuantVPS Helps Maximize Payouts

QuantVPS delivers consistent and reliable performance, which directly impacts your ability to meet TradeDay’s payout criteria. With latency under 0.52ms to the CME exchange, your trades execute faster, reducing slippage and ensuring you get the best possible prices.

"Our Chicago datacenter provides ultra-low latency (<0.52ms) directly to the CME exchange, enabling faster futures trade execution and significantly minimizing slippage." – QuantVPS

This ultra-low latency is a game changer for futures trading, where even a fraction of a second can influence entry and exit prices. QuantVPS also guarantees 99.999% uptime, offering uninterrupted trading 24/7. Handling over $14.44 billion in daily futures volume as of July 1, 2025, the platform ensures that server performance won’t stand in the way of your trading success. These features directly support your ability to meet TradeDay’s performance benchmarks.

QuantVPS Works with TradeDay Platforms

Connecting QuantVPS to your TradeDay account is simple. It supports all major trading platforms compatible with TradeDay, such as NinjaTrader, MetaTrader, and TradingView. Once registered, you’ll receive VPS credentials to access your server via Windows Remote Desktop, where you can install your preferred trading platform.

With Windows Remote Desktop, you can access your trading platforms from anywhere, ensuring 24/7 automated strategy execution. Whether you’re traveling or away from your main computer, you can monitor positions, tweak strategies, and execute trades seamlessly. This flexibility is essential for maintaining consistent trading activity, a key factor in meeting TradeDay’s performance standards.

Protection and Backup Features

QuantVPS prioritizes security to protect your data and trading activities. The service includes DDoS protection, shielding you from cyber attacks that could disrupt your connection or compromise your strategies. Automated server backups protect your trading configurations, historical data, and custom indicators, ensuring your setups remain intact even if technical issues arise.

"At QuantVPS, we understand that in the world of trading, every second counts. Uninterrupted access to your trading platforms and data is paramount. That’s why we are deeply committed to providing an exceptionally reliable and stable hosting environment." – QuantVPS

QuantVPS also offers 24/7 expert technical support through tickets, live chat, and a detailed knowledge base, ensuring any problems are resolved quickly and efficiently.

Choose a plan that aligns with your trading needs. For simple strategies, the VPS Lite plan is a great option. If you’re managing advanced strategies or require institutional-level performance, the VPS Ultra or Dedicated Server plans provide the necessary power and storage to help you achieve your goals faster.

Conclusion

Grasping TradeDay’s payout rules is a key step toward turning your trading efforts into consistent earnings. The platform’s clear and straightforward approach allows you to better align your trading strategies with its profit-sharing structure, which improves as your lifetime withdrawals grow. With payouts available from the very first day after meeting the buffer requirement and a low minimum withdrawal of $250, TradeDay eliminates many of the hurdles that often frustrate traders.

Timing is everything when it comes to withdrawals. Submitting your request before 5:30 PM CT ensures processing by the next business day. U.S. traders enjoy free wire transfers, while international traders face a $15 fee for withdrawals. These details make it easier to plan and manage your earnings.

Your trading performance plays a crucial role in meeting the platform’s requirements, and having the right tools is equally important. QuantVPS provides the reliability you need, offering ultra-low latency to the CME exchange and a 100% uptime guarantee. This ensures your trades are executed without interruptions, helping you stay on track with TradeDay’s criteria.

Ultimately, success with TradeDay’s payout system boils down to preparation and precision. By understanding the rules, maintaining strong trading performance, and leveraging dependable technology, you can position yourself to make the most of every opportunity the platform offers.

FAQs

What is the buffer zone, and how can I manage it to maximize my payouts on TradeDay?

The Buffer Zone on TradeDay

The buffer zone on TradeDay acts as a safety net that traders need to surpass to qualify for payouts. Its purpose is to keep your account stable and shield it from potential losses. This zone is calculated by adding your starting account balance to the maximum allowable drawdown.

To boost your payouts while staying above the buffer zone, focus on steady growth and smart risk management. Here’s how:

• Set clear stop-losses: This helps prevent large losses and keeps your account in good shape.
• Keep position sizes manageable: Avoid overextending yourself by trading within your limits.
• Time withdrawals carefully: Aim to withdraw profits only when they’re significantly above the buffer, ensuring your account stays strong for future opportunities.

By following these steps, you can maintain stability while maximizing your trading potential.

What steps do I need to complete in the Riseworks onboarding process before receiving my first payout?

Before receiving your first payout, you’ll need to go through the Riseworks onboarding process. Here’s what that involves:

• Providing all necessary worker documentation and tax details.
• Completing the Know Your Customer (KYC) verification process.
• Joining the Rise team if directed to do so.

Once you’ve checked off these steps, you can request your payout directly through the dashboard. Don’t forget to generate your passcode and double-check that all compliance requirements are fulfilled to prevent any delays. These steps help ensure everything runs smoothly and you get paid on time.

What steps should I take to follow TradeDay’s rules and qualify for payouts?

To receive payouts on TradeDay, you need to stick to the platform’s rules and meet all necessary requirements. This includes clearing any buffer amounts before requesting a withdrawal and verifying your account details when prompted. It’s also crucial that your trading activities align with applicable laws and the specific payout conditions set by TradeDay.

Payouts are initiated the day after the end-of-day settlement, so make sure you meet the minimum criteria before submitting your request. Taking the time to regularly review TradeDay’s terms and payout policies can help you stay up to date and avoid any issues. Being prepared and attentive ensures a hassle-free payout process while reducing the risk of disqualifications.

Related posts

• Apex Payout Rules Explained: How Trader Payouts Work
• Bulenox Payout Rules Explained: How Trader Payouts Work
• Tradeify Payout Rules Explained: How Trader Payouts Work