I am looking for advice on whether or not an NPC in a party should receive loot. Note, I am not in need of a distribution method.
It would seem that if the party hired the NPC, then the amount of reward would have been decided in the contract. But what if the NPC is just someone you encountered on the road and happens to be heading your way? For example, Shalelu in the Rise of the Runelords AP (please no specifics, I am a player, not the GM). Is she entitled to loot?
It does seem quite clear that Paizo does intend that she NOT take away from the party's XP earned.
Also, one might argue that she helps the party and risks life and limb while doing so. But, is she really on par with the rest of the members of the party? Is she geared as a PC would be for her level? Is she of equal level to the party? If not, she is either not pulling a full "share" of the weight, or may in fact be pulling too much of the load (if higher in level and gear).
Assuming she is lower in respect to level/gear/power, then she is similar to a cohort. Cohorts don't inherently earn a share of loot, or do they?
While the above is my specific situation, I am asking the question with the hopes of finding a more general reply.
Should be negotiated when the NPC joins.
Most characters don't want a bad reputation and will reward NPC's regardless of contract, however.
According to the rules? They do not. The charts in the gamemastering section of the CRB for loot per encounter are meant for PCs. However, if an NPC joined my party I can't see a valid in-game reason to predeteriminately bar them from any loot without metagaming.
Honestly there is not hard and set rule on loot distribution. You will get a ton of different views. I would suggest working it out in game. Each NPC should be different. Some will expect a full share. Some will not care either way. Some might be helping for their own reasons and loot is not a consern. It should be an RP thing.
My opinion. DM does not "Hand out" loot. Thats up to the party. As a DM I figure out what loot drops, and the party decides who gets what.
I would recommend that if you don not want to take any loot from the PCs, then you should up the treasure of the encounter so that the NPC can have just as much of the treasure without taking any away from the Party.
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If the NPC functions as a party member they should usually get a full share, unless there's some sort of extenuating circumstance (e.g. they're accompanying the party to repay a favor or because the party is acting on their behalf in the first place, or they've been hired or ordered to go along by an interested third party etc.). If the NPC does get a full share, however, the GM should adjust both the difficulty and rewards to reflect the party's power with the extra member included.
If they're more of a guide or helper who accompanies the party but doesn't enter dungeons/encounter areas with them then they should just be paid a fixed fee for their services, either by the PCs themselves or by whomever the PCs are helping/working for. Of course if the party cares about their reputation they should also provide such NPCs with healing etc. as needed and, in the worst case scenario, make every effort to return their remains (and belongings!) to their families.
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I generally recommend giving NPCs a small percentage of the loot found. While not as large as a share earned by a player, a small amount should be acceptable (5-10%)
Why would an NPC accept such an arrangement, assuming they faced the same risks as the PCs did? Do they see themselves as inferior to the PCs? Do they have "NPC" tattooed on their foreheads? If a PC died and the player took over the NPC as his new character would the 5-10% deal continue? That sort of thing seems very metagamey to me.
Is there hard fast rule for this... No. It is role play thing not a roll play. It changes for our group as our alignment change personality of different PC's. What count as share changes from campaign to campaign.
In general we believe that, if you fight with us you should be protected. So share Armor, Shield, Ring Protection, amulets of Natural Armor, and Vest/ cloak of Resistance.
Second that if you going to attack and help that you have a weapon/ wand/ect that works. So early on Master Work later a magic.
General Healing, or general useful stuff yes. (You may come heal me with it win I need it.)
All above is coming from the school of thought make you better to help/
to help us. Or to make NPC a asset not a liability. You invest in them to make them better cause some day they will help you out.
Coin and other non combat stuff is pure roll play thing.