# What is Payout cycle?

> A payout cycle is the schedule on which a prop firm lets funded traders request performance rewards, such as on demand, weekly, bi-weekly or monthly, plus its first-payout rule.

- Source: https://pipvalley.com/glossary/payout-cycle
- Publisher: PipValley - web design studio for prop trading firms
- Updated: 2026-10-03

In a prop firm, the payout cycle answers two questions: when can a trader make the first request, and how often after that. A typical setup sets a first-payout wait, such as a number of days or trading days after the simulated funded account starts, then a regular interval.

The cycle interacts with other rules: minimum payout amounts, consistency requirements, payout caps, and the processing time from request to funds received, which depends on the payment rail.

Firms often sell faster cycles as an add-on. A faster cycle increases the number of payout transactions and shortens the time the firm holds the cash before paying.

## Why it matters

Payout speed is a major trust signal and a common complaint topic. Separate request eligibility from processing time on your site, state both honestly, and do not advertise a processing time you cannot meet in your worst week. Show the payout methods you support alongside the schedule.