salary

how the best managing partners turn ideas into reality

by

man and woman in meeting across deskapproaches can differ dramatically from one partner to another.

by bill reeb and dominic cingoranelli

how can the managing partner operationalize the strategy within the policies, process and budget set forth by the partner group?

more on performance management: accountability includes partners | accountability requires clear expectations | base retirement on today’s operations | how involved should retired owners be? | how to find a partner’s replacement | best practices for mandatory retirement | 7 succession questions to ignore for now

to keep this simple, because it can get very complex extremely fast, let’s say that the firm has three strategies the partner group has mandated:
read more →

partner pay: recapping the compensation systems

by

the popularity, pros, and cons of each.

chart of compensation system usage
compensation systems in use, by size of partnership

by marc rosenberg
partner comp: art & science

what is the actual usage of compensation by firms?

more on partner compensation:5 other systems for paying partners | 3 non-performance-based comp systems | the 3 best partner compensation formulas |why firms use partner comp formulas|3 subjective compensation systems|11 points in designing a partner comp system | 3 tiers of compensation | partner compensation 101|what partners earn and how they earn it | partner compensation: an art, not a science | how partners view compensation: it’s not all about the money | why most partner comp systems are performance-based 

goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

 

observations & analysis:

read more →

managing the managing partner

by

businessman standing at conference table with 4 colleagues seated behindchecks and balances are key.

by bill reeb and dominic cingoranelli

as past success and personal development continuously demonstrate, organizations operate more effectively when people are managed. and since partners are people, rather than gods or superheroes, it makes sense that we put something in place to manage them as well.

more on performance management: accountability is for everyone | succession plan requirements | base retirement on today’s operations | how involved should retired owners be? | firms say what would change retirement pay | 4 ways to create more capacity | 7 succession questions to ignore for now | how partner ratings factor into equity | hazards of not reallocating equity | 5 harmful management attitudes (and how to fix them) | do cpa firms need management or leadership? |  job 1 for the practice owner: client management

with this general background in mind, let’s dive a little deeper into how a managing partner goal-setting process might work.
read more →

partner pay: why your book of business isn’t worth as much

by

young businessman walking on bungee cord between question mark and dollar signfour reasons behind the decline. plus the impact on buyouts and retirements.

by marc rosenberg
partner comp: art & science

i’m sure many people see the title of this post as a form of practice management heresy.

more on partner compensation: 5 other systems for paying partners | 3 non-performance-based comp systems | 3 subjective compensation systems | partner compensation 101 | what partners earn and how they earn it | partner compensation: an art, not a science | why most partner comp systems are performance-based

the message is: the weighting of book of business is trending from being the “end-all” in allocating partner income, or close to it, to a factor that is still important, but less so.
read more →

how to decide who decides pay

by

woman on building roof spraying out dollars with a garden hosewhere to draw the line between managing partner and compensation committee.

by bill reeb and dominic cingoranelli

everyone likes the idea that “i” will hold “me” accountable. but few like the idea of “anyone else” holding “them” accountable.

more on performance management: accountability requires clear expectations | base retirement on today’s operations | who decides what? | how retired partners are robbing their own firms | best practices for mandatory retirement | how retirement issues affect succession planning | succession: the questions to care about | how to target what skills to develop now | what having your employees’ backs means | 5 harmful management attitudes (and how to fix them) | do cpa firms need management or leadership? |  job 1 for the practice owner: client management

goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

so, once the decision has been made to implement systemic changes to hold partners accountable to specific performance expectations rather than just relying on everyone to put in a self-proclaimed “good day’s work,” the next battleground is determining who will be holding whom accountable. the discussion always shifts to “let’s have a group of people, like a compensation committee, hold us accountable.”
read more →

partner pay: open vs. closed compensation systems

by

businessman ogling money over another's shoulderboth have advantages.

by marc rosenberg
partner comp: art & science

“if people are concerned about their absolute level of compensation, then they can be satisfied. however, if their focus is on relative standing, then they can never be satisfied.”

– andrew grove, former chairman, intel

an open compensation system is one in which all partners know the earnings of all partners.

more on partner compensation: 5 other systems for paying partners | 3 non-performance-based comp systems | 3 subjective compensation systems | partner compensation 101 | how partners view compensation: it’s not all about the money | why most partner comp systems are performance-based

a closed system is one in which a limited number of partners are privy to this information. in closed systems, the only partners with access to all partners’ income are usually the managing partner, the compensation committee and/or the executive committee.
read more →

make accountability a process

by

man and woman reviewing a documenteveryone performs better when someone else has oversight.

by bill reeb and dominic cingoranelli
卡塔尔世界杯常规比赛时间 / succession institute

setting up an “accountability and goal process” always sounds much easier than it actually is to implement. so for those who already think this process would be painful, just know that you still are probably underestimating the amount of agony in store.

more on performance management: accountability requires clear expectations | accountability is for everyone | succession plan requirements | base retirement on today’s operations | who decides what? | how retired partners are robbing their own firms | how involved should retired owners be? | firms say what would change retirement pay | 4 ways to create more capacity | how to find a partner’s replacement | action plans for transitioning partners | partner retirement and the war for clients | best practices for mandatory retirement | how retirement issues affect succession planning | succession: the questions to care about 

this leads us to the standard question, “if this is so awful, why would anyone do it?” the answer is both simple and abstract.
read more →

5 other systems for paying partners

by

money falling from the sky; moneyon whitewhy balanced scorecard is mbo in new clothing.

by marc rosenberg
partner comp: art & science

there are many partner compensation formulas, some performance-based and some not, some more subjective than others.

more on partner compensation: 3 non-performance-based comp systems | the 3 best partner compensation formulas | 11 points in designing a partner comp system | what partners earn and how they earn it | partner compensation: an art, not a science | how partners view compensation: it’s not all about the money | why most partner comp systems are performance-based

the systems below are less common than others, but some firms are attracted to them, especially small firms.
read more →

pay varies when performance varies

by

closeup shot of a caliper measuring the word "goals"plus ways to measure both objective and subjective performance criteria (yes, it can be done).

by bill reeb and dominic cingoranelli
卡塔尔世界杯常规比赛时间 / succession institute

an important point to keep in mind is that we, as human beings, have good months and bad ones, good years and bad ones.

more on performance management: accountability requires clear expectations | accountability is for everyone | succession plan requirements | base retirement on today’s operations | who decides what? | how retired partners are robbing their own firms | how involved should retired owners be? | firms say what would change retirement pay

what is going on in our personal lives has a lot to do with how we perform in our professional ones. therefore, if someone is going through a difficult time, such as a divorce, death in the family, major conflicts with extended family, etc., we can expect those events to spill over into our work life.
read more →

3 non-performance-based comp systems

by

businessman sitting on scales with stack of coins in other trayhint: they don’t eliminate arguments.

by marc rosenberg
partner comp: art & science

the common thread to non-performance-based systems is that partners’ compensation is not based on their performance, but on other factors that have nothing to do with performance. there are three main systems of this type:

more on partner compensation: the 3 best partner compensation formulas | why firms use partner comp formulas | 3 tiers of compensation | partner compensation 101| what partners earn and how they earn it | partner compensation: an art, not a science | how partners view compensation: it’s not all about the money | why most partner comp systems are performance-based

  • ownership percentage
  • pay all partners equally, or nearly so
  • seniority

read more →

accountability includes partners

by

manager dangling carrots in front of staffdeliver not only rewards but sanctions.

by bill reeb and dominic cingoranelli
卡塔尔世界杯常规比赛时间 / succession institute

let’s take a close look at what accountability might look like.

more on performance management for pro members: accountability requires clear expectations | accountability is for everyone | who decides what? | firms say what would change retirement pay | action plans for transitioning partners | how retirement issues affect succession planning | how partner ratings factor into equity | cpa firm performance assessments: 15 core competencies, 21 questions

for partners, accountability is best described as having a system in place that rewards partners for
read more →

accountability requires clear expectations

by

two businesswomen sitting at table and talking in office courtyardmake an effort to learn from your successes as well as your failures.

by bill reeb and dominic cingoranelli
卡塔尔世界杯常规比赛时间 / succession institute

accountability needs to be rooted in much more than a casual perception or it is destined to fail. therefore, the first step to accountability is to move this from an “i will watch you and tell you if i think you are doing a good job” approach to one that clearly defines what you expect of someone up front.

more on performance management: accountability is for everyone | succession plan requirements | how retired partners are robbing their own firms | 4 ways to create more capacity | partner retirement and the war for clients | succession: the questions to care about | hazards of not reallocating equity

now this sounds fairly straightforward, and it is, but it is also loaded with plenty of traps that you can fall into. one of the traps we want to avoid is ambiguity. you can overcome this trap by taking time to describe the expectations you have of someone, like:
read more →

fresh data spell new staffing issues at tax & accounting firms

by

卡塔尔世界杯常规比赛时间 jobs reporthiring and wages are up. utilization rates are down.

next question: the best talent retention strategies.
join the survey; get the answers.

by 卡塔尔世界杯常规比赛时间

most workers in the tax and accounting industry are working fewer hours than a year and a half ago, according to 卡塔尔世界杯常规比赛时间 sources, a potentially troubling sign of unsustainable hiring and management practices.

in addition, year-over-year increases of 5 percent or more were seen in

  • number of overall staff;
  • number of cpa firm employees, both total and staff;
  • payroll staff;
  • and women overall, at cpa firms and in payroll

the really bad news comes in payroll agencies, where positions are at their second highest level ever, but wages are plummeting.

with the new data, the monthly 卡塔尔世界杯常规比赛时间 jobs report projects a new surge in turnover with the end of busy season. there will be winners. and there will be losers. savvy, growing firms will be well-positioned to attract the under-leveraged talent that slow-footed firms can’t handle or afford. top talent will be making lateral moves, as much for more supportive cultures and future opportunities as for a quick pay increase, according to the 卡塔尔世界杯常规比赛时间 analysis.

in this report, 卡塔尔世界杯常规比赛时间 provides additional detail and analysis on:

  • current hiring trends in each of the cpa, tax preparation, payroll and bookkeeping segments of the industry;
  • average hourly wages for key segments;
  • average hours worked per week;
  • and trends concerning women in the accounting workforce.

read more →