What is negative carryover?
Under RevShare, a reporting period can produce a negative calculation base. The negative carryover rule determines whether that balance moves into the next period or whether the new period starts from zero.
Two scenarios
Suppose month 1 produces a calculated result of −$2,000 and month 2 produces +$6,000 before carryover.
| Rule | Month 2 calculation base | At a 50% share |
|---|---|---|
| Negative balance carries over | $4,000 | $2,000 |
| Negative balance does not carry over | $6,000 | $3,000 |
This is a simplified example. The actual formula depends on the program’s definitions of NGR and the negative balance.
Why the rule matters more at low volume
In a small cohort, one unusual period has a larger effect on the result. A larger, more diversified audience may smooth fluctuations, but the carryover rule remains part of the financial model.
Questions to ask
- Does a negative balance carry between calendar periods?
- Is it reset under any conditions?
- Is the balance calculated separately by brand or GEO?
- Where does the report show the carried amount?
- How are adjustments to previous periods handled?
Distinguish carryover from a weak positive month
Low positive NGR and negative NGR are different situations. A low positive result simply produces less RevShare. A negative result introduces the question of carryover.
Show it in your own report
Add a separate line for the opening balance or carryover. This makes the monthly formula visible and explains why the rate may apply to a different base.
The RevShare and NGR article explains the calculation base. The RevShare page describes the overall model.
Review carryover alongside cohorts
A negative month does not necessarily mean the new traffic is poor. Activity from users acquired earlier may affect the result. Clarify whether the calculation base covers the entire account or whether a segment breakdown is available.
Model the risk
Include a scenario with one negative period in your financial model. Check how quickly subsequent positive NGR offsets the carried balance. This matters especially when advertising costs are fixed and cannot be reduced quickly.
Avoid changing course after one negative period
RevShare is inherently more variable than a fixed CPA. Assess your source across several periods and consider cohort quality where the program provides the necessary data.
Ask what happens when the terms change
If your rate or affiliate tier changes, clarify how an existing carried balance will be handled. Resolve this before the change rather than after an unexpected calculation.
Make the carryover visible
A monthly report can show four lines: opening balance, current NGR, calculation base after carryover and RevShare. This keeps the negative balance visible and makes the final figure easier to verify.
When an account contains several sources
If one account combines several channels, check whether a negative result in one segment can reduce a positive result in another. This affects how you assess each source within the overall model.
Maintain a financial reserve
When working with RevShare, avoid planning expenses around the previous month’s highest payout. Variability and carryover make a conservative reserve useful for sustainable scaling.
How this relates to LuckyBear tiers
The supplied LuckyBear terms specify No NCO for V5 Diamond. This does not establish no negative carryover for every tier. Confirm your account’s current status and calculation rules with your manager. Rates and benefits are listed in the RevShare tier cards.
LuckyBear’s standard negative-NGR window
The supplied rules carry forward the previous week’s negative NGR and defer payment until the calculation base is positive. Deficits are tracked in a rolling 91-day window, and expired negative amounts are written off. V5 separately includes No NCO. Check the rule for your current account tier; the general example above does not model the 91-day window.
