Segment Information

12 Months Ended

Dec. 31, 2022

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 team support members 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:

	2022		2021		2020
Net revenue:
U.S.	$	11,902	$	11,946	$	9,805
Canada		367		333		258
Total net revenue	$	12,269	$	12,279	$	10,063
Net interest and dividends revenue:
U.S.	$	354	$	69	$	99
Canada		18		4		6
Total net interest and dividends revenue	$	372	$	73	$	105
Pre-variable income:
U.S.	$	3,057	$	3,489	$	2,673
Canada		82		65		26
Total pre-variable income	$	3,139	$	3,554	$	2,699
Variable compensation:
U.S.	$	1,694	$	1,907	$	1,385
Canada		41		42		29
Total variable compensation	$	1,735	$	1,949	$	1,414
Income (loss) before allocations to partners:
U.S.	$	1,363	$	1,582	$	1,288
Canada		41		23		(3	)
Total income before allocations to partners	$	1,404	$	1,605	$	1,285
Capital expenditures:
U.S.	$	298	$	229	$	126
Canada		4		5		3
Total capital expenditures	$	302	$	234	$	129
Depreciation and amortization:
U.S.	$	483	$	445	$	428
Canada		16		16		15
Total depreciation and amortization	$	499	$	461	$	443
Total assets at year end:
U.S.	$	28,761	$	31,034	$	27,776
Canada		1,131		1,174		1,078
Total assets	$	29,892	$	32,208	$	28,854
Financial advisors at year end:
U.S.		17,961		17,971		18,321
Canada		835		852		904
Total financial advisors		18,796		18,823		19,225