Segment Information

12 Months Ended

Dec. 31, 2021

Segment Reporting [Abstract]

Segment Information

NOTE 15 – SEGMENT INFORMATION

The Partnership has determined it has two operating and reportable segments based upon geographic location, the U.S. and Canada. The accounting policies of the segments are the same as those described in Note 1 – Summary of Significant Accounting Policies. Canada segment information, as reported in the following table, is based upon the Consolidated Financial Statements of the Partnership's Canada operations, which primarily occur through a non-guaranteed subsidiary of the Partnership. For computation of segment information, the Partnership allocates costs incurred by the U.S. entity in support of Canada operations to the Canada segment and does not eliminate intercompany items, such as management fees paid to affiliated entities. The U.S. segment information is derived from the Consolidated Financial Statements less the Canada segment information as presented. Pre-variable income represents income before variable compensation expense and before allocations to partners. This is consistent with how management reviews the segments to assess performance.

The Partnership evaluates segment performance based upon income (loss) before allocations to partners, as well as income before variable compensation (“pre-variable income”). Variable compensation is determined at the Partnership level for profit sharing and home office associate and branch office administrator bonus amounts, and therefore is allocated to each geographic segment independent of that segment’s individual pre-variable income. Financial advisor bonuses are determined by the overall Partnership’s profitability, as well as the performance of the individual financial advisors. Both income (loss) before allocations to partners and pre-variable income are considered in evaluating segment performance. Long-lived assets are not disclosed because the balances are not used for evaluating segment performance and deciding how to allocate resources to segments. However, total assets for each segment are provided for informational purposes, as well as capital expenditures and depreciation and amortization.

The following table shows financial information for the Partnership’s reportable segments for the years ended December 31:

	2021		2020			2019
Net revenue:
U.S.	$	11,946	$	9,805		$	9,127
Canada		333		258			242
Total net revenue	$	12,279	$	10,063		$	9,369
Net interest and dividends revenue:
U.S.	$	69	$	99		$	249
Canada		4		6			10
Total net interest and dividends revenue	$	73	$	105		$	259
Pre-variable income:
U.S.	$	3,489	$	2,673		$	2,194
Canada		65		26			16
Total pre-variable income	$	3,554	$	2,699		$	2,210
Variable compensation:
U.S.	$	1,907	$	1,385		$	1,094
Canada		42		29			24
Total variable compensation	$	1,949	$	1,414		$	1,118
Income (loss) before allocations to partners:
U.S.	$	1,582	$	1,288		$	1,100
Canada		23		(3	)		(8	)
Total income before allocations to partners	$	1,605	$	1,285		$	1,092
Capital expenditures:
U.S.	$	229	$	126		$	170
Canada		5		3			6
Total capital expenditures	$	234	$	129		$	176
Depreciation and amortization:
U.S.	$	445	$	428		$	421
Canada		16		15			11
Total depreciation and amortization	$	461	$	443		$	432
Total assets at year end:
U.S.	$	31,034	$	27,776		$	19,025
Canada		1,174		1,078			752
Total assets	$	32,208	$	28,854		$	19,777
Financial advisors at year end:
U.S.		17,971		18,321			17,830
Canada		852		904			874
Total financial advisors		18,823		19,225			18,704