yeah, based on tiers TL 0, L -2 ,TM -4 and so on, but for each tier theres 3 levels
E.G TM is -4 but average below 63 then -3, 63 to 67 then -4 above 67 then -5. this done the same for all tiers. This way no lower tier has worse handicap than a "better player" above them in tiers. That was just a basic explanation, hope it helps.