Hey Guys,
I just wanted to jump in here to clarify things a bit... you're right, that transaction fee is ridiculous. However, its not by design. It would appear that you have discovered a bug in the payout system. The nightly payments were incorrectly being sent individually instead of in a batch, increasing the transaction fees, and deducting them from the payments. The way its supposed to work is that payments are sent in batches, and the pool absorbs the fees. I will get this corrected asap, sorry for the mistake.
So with that understood, zneww is correct, I lowered the payout threshold to .001 to help the slower miners out. Once this bug is fixed, is it safe to assume the lower payout threshold is a non-issue for folks?