H.R. 7187

In plain English

Clarity for Compensation Act This bill allows individuals who work for registered brokers to receive compensation for their services through their own personal businesses without having to register with the Securities and Exchange Commission (SEC).  Specifically, the bill exempts certain personal services entities from SEC broker regulations. As background, brokers (persons engaged in the business of making securities transactions on behalf of others) must register with the SEC and become members of a self-regulatory organization (SRO). Under this bill, a  personal services entity is an entity established by a registered representative to receive compensation for services from the registered representative's broker. A registered representative works for the broker (deemed an associated person of the broker) and is registered with the appropriate SRO. Under this bill, a personal services entity is not considered a broker for SEC regulatory purposes when receiving compensation from the registered representative's broker on the registered representative's behalf if the broker approves and maintains records of the payment, the personal services entity does not hold

Congressional Research Service summary from Congress.gov (not yet simplified).

Sponsor and status

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How South Carolina voted

No recorded roll-call vote on this bill yet. Most bills never get one.

Who lobbied

Lobbying reports name the bills a client worked on. They don't say which side anyone took.

No lobbying reported on this bill in the reports we have loaded (January 2025 through September 2026). Lobbyists report each quarter, about 20 days after it ends, so any lobbying since October 2026 will be added once those reports are filed.