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My firms partner payment formula is hilariously bad for me

I work at a smaller ID firm that has a wills and trusts prac...
Coral Pontificating Ape Water Buffalo
  11/20/23
So you'll make $210k and that's before Uncle Sam slides its ...
Bonkers hissy fit
  11/20/23
Basically. I’m on track to make 260k next year based ...
Coral Pontificating Ape Water Buffalo
  11/21/23
stupid shit like this you need to just set a total comp numb...
Learning disabled university
  11/21/23
Who cares whether the clients are new or not? Money is money...
Bespoke cobalt stead personal credit line
  11/21/23
Exactly the argument we’ve been having. Basically it ...
Coral Pontificating Ape Water Buffalo
  11/21/23
I think it is easier to charge new clients more.
Up-to-no-good topaz double fault business firm
  11/21/23
I’ve done the math, I personally make more by getting ...
Coral Pontificating Ape Water Buffalo
  11/21/23
Take that example to your partners and that should force the...
Up-to-no-good topaz double fault business firm
  11/21/23
Have done so. One will guy protects other will guy. The mai...
Coral Pontificating Ape Water Buffalo
  11/21/23
My partnership formula is pretty 180 for new partners. Half ...
Up-to-no-good topaz double fault business firm
  11/21/23
Then that shows up in collections, etc.
Bespoke cobalt stead personal credit line
  11/21/23
I always get big retainers from new clients.
Up-to-no-good topaz double fault business firm
  11/21/23
Which would be accounted for in your billings and collection...
Bespoke cobalt stead personal credit line
  11/21/23
I thought you were saying something else. Nevermind.
Up-to-no-good topaz double fault business firm
  11/21/23
How many partners?
well-lubricated hairy legs
  11/20/23
6. One partners comp is around $800k, but he’s respon...
Coral Pontificating Ape Water Buffalo
  11/21/23
What's your hourly rate?
well-lubricated hairy legs
  11/21/23
sounds like retards scuffling performing jew math
burgundy beady-eyed macaca fanboi
  11/20/23
mfcr
Provocative Medicated Stage
  11/21/23
...
Vivacious range hominid
  11/21/23
sounds like the perfect storm for the firm to split up
dun marvelous selfie masturbator
  11/20/23
that’s actually offensive. op, i don’t want to ...
narrow-minded nowag
  11/20/23
Wow man that only leaves a shitload of money for you, I'll s...
Sexy twinkling sound barrier
  11/21/23
$210k is laughable Enjoy poverty
amethyst meetinghouse elastic band
  11/21/23
I live in are country. My house cost $465k and I pay $2k in...
Coral Pontificating Ape Water Buffalo
  11/21/23
those taxes are abnormally low or you way overpaid for your ...
Learning disabled university
  11/21/23
we have a 180 credit system for primary residences. Vacati...
Coral Pontificating Ape Water Buffalo
  11/21/23
What's your rate?
Bespoke cobalt stead personal credit line
  11/21/23
that's a horrible way to do things. fuck that.
dashing location striped hyena
  11/21/23
My firm's formula, if it exists, is a secret
Rusted cracking boiling water community account
  11/21/23
Are you a partner?
Bespoke cobalt stead personal credit line
  11/21/23
I get calls all the time from lawyers, accountants, doctors,...
Federal Love Of Her Life Forum
  11/21/23
Well, I know how it's calculated. The remuneration committe...
Rusted cracking boiling water community account
  11/21/23
Is the idea that people don't respond to economic incentives...
Bespoke cobalt stead personal credit line
  11/21/23
I think the idea is that those in charge would prefer to tak...
Rusted cracking boiling water community account
  11/21/23
Read: They like blowjobs.
Bespoke cobalt stead personal credit line
  11/21/23
WTF. Assuming you paid off of your billings alone and bi...
adventurous sickened clown spot
  11/21/23
Why would you not just go solo, WFH and make 2x as much work...
adventurous sickened clown spot
  11/21/23
...
Bespoke cobalt stead personal credit line
  11/21/23
There is no planet in which you’re paid 100% of your b...
Coral Pontificating Ape Water Buffalo
  11/21/23
I said "assuming..."
adventurous sickened clown spot
  11/21/23
The wills guys are more valuable because if your carrier lea...
Up-to-no-good topaz double fault business firm
  11/21/23
I say ID, we’re about 30% ID, 60% SIRs and 10% wills. ...
Coral Pontificating Ape Water Buffalo
  11/21/23
What is SIRs?
Up-to-no-good topaz double fault business firm
  11/21/23
Self insured retention
bateful electric furnace
  11/21/23
How is that different from insurance defense? Do they hire o...
Bespoke cobalt stead personal credit line
  11/21/23
Self insured retentions where company controls counsel selec...
Coral Pontificating Ape Water Buffalo
  11/21/23
What sort of policies?
Bespoke cobalt stead personal credit line
  11/21/23
How do you get ID clients
aquamarine cerebral jap point
  11/21/23
How did you get ID clients
aquamarine cerebral jap point
  11/21/23
I have barely ever got any.
Up-to-no-good topaz double fault business firm
  11/21/23
Thought this said baby formula all day
sable chest-beating corn cake pit
  11/21/23
Are you gen x lol
nubile chapel regret
  11/21/23


Poast new message in this thread



Reply Favorite

Date: November 20th, 2023 11:09 PM
Author: Coral Pontificating Ape Water Buffalo

I work at a smaller ID firm that has a wills and trusts practice as well. We calculate partner % of distributions annually based on a 2 year running average of 4 buckets-shares, supervised revenue, individual revenue, and new client revenue. Every year, each bucket is totalled up and then your precent of the whole for each category is multiplied by .25 then added together with the other 3 categories to equal what your percentage of each distribution will be. Mine is around 10% now.

First 3 makes sense, but new client is most valuable and benefits the wills and trusts guys big time. A “new client” is one the firm had not had before and any revenue received over the first 2 years the client is new counts as new client revenue. For us ID guys, getting a new client is fairly rare as there are only so many insurers to represent. For wills guys, it’s like 100% of their individual and supervised revenue bc how many times do you need a will.

We have a guy who oversaw 275k in business last year and billed 350k ( some of his work was for other partners clients) whose about to end the year making 260k. Meanwhile, I oversaw 600k and billed 450k and have more shares than him and I’m about to make 210k lol.

Told guy I wanted to recalculate the formula and he says he was underpaid as associate and since that wasn’t fair it’s only right he get paid more now despite the fact that our associate pay is based on collections in large part, which he didn’t have.



(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47080857)



Reply Favorite

Date: November 20th, 2023 11:25 PM
Author: Bonkers hissy fit

So you'll make $210k and that's before Uncle Sam slides its big dick in you for its cut?

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47080911)



Reply Favorite

Date: November 21st, 2023 9:01 AM
Author: Coral Pontificating Ape Water Buffalo

Basically. I’m on track to make 260k next year based on my increase in new client and individual billing’s from this year

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47081523)



Reply Favorite

Date: November 21st, 2023 9:38 AM
Author: Learning disabled university

stupid shit like this you need to just set a total comp number and back into it using bullshit metrics to justify. you end up with half the ppl making out like hyenas and half pissed and looking to quit if you don't. it would be easier to just pay everyone a salary.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47081601)



Reply Favorite

Date: November 21st, 2023 2:25 PM
Author: Bespoke cobalt stead personal credit line

Who cares whether the clients are new or not? Money is money.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082786)



Reply Favorite

Date: November 21st, 2023 8:40 PM
Author: Coral Pontificating Ape Water Buffalo

Exactly the argument we’ve been having. Basically it incentivizes you to take lower paid work for new client revenue since it’s the easiest way to boost your income as it’s only compared against other new client revenue. It will always benefit wills guys because 100% of their revenue is always new client.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084335)



Reply Favorite

Date: November 21st, 2023 9:02 PM
Author: Up-to-no-good topaz double fault business firm

I think it is easier to charge new clients more.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084408)



Reply Favorite

Date: November 21st, 2023 9:06 PM
Author: Coral Pontificating Ape Water Buffalo

I’ve done the math, I personally make more by getting in clients that bill $100 per hour new than I would getting clients paying 800 per hour old.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084428)



Reply Favorite

Date: November 21st, 2023 9:12 PM
Author: Up-to-no-good topaz double fault business firm

Take that example to your partners and that should force them to agree to a change.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084454)



Reply Favorite

Date: November 21st, 2023 9:17 PM
Author: Coral Pontificating Ape Water Buffalo

Have done so. One will guy protects other will guy. The main partner on my side makes enough that he doesn’t give a shit and just wants us to resolve it. Secondary will guy sees this as his reward for being underpaid for last 14 years. It literally only benefits him. Will prob get some concession to alter it this year but dude is pissed like you wouldn’t believe. The concession that he has agreed to will cost him $50k next year

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084488)



Reply Favorite

Date: November 21st, 2023 9:19 PM
Author: Up-to-no-good topaz double fault business firm

My partnership formula is pretty 180 for new partners. Half of the profit is an even split between partners and the other half is divided based on revenue over the last 5 years with the most recent years weighted the most.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084499)



Reply Favorite

Date: November 21st, 2023 9:31 PM
Author: Bespoke cobalt stead personal credit line

Then that shows up in collections, etc.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084536)



Reply Favorite

Date: November 21st, 2023 9:34 PM
Author: Up-to-no-good topaz double fault business firm

I always get big retainers from new clients.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084546)



Reply Favorite

Date: November 21st, 2023 9:36 PM
Author: Bespoke cobalt stead personal credit line

Which would be accounted for in your billings and collections.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084558)



Reply Favorite

Date: November 21st, 2023 9:37 PM
Author: Up-to-no-good topaz double fault business firm

I thought you were saying something else. Nevermind.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084567)



Reply Favorite

Date: November 20th, 2023 11:22 PM
Author: well-lubricated hairy legs

How many partners?

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47080905)



Reply Favorite

Date: November 21st, 2023 9:01 AM
Author: Coral Pontificating Ape Water Buffalo

6. One partners comp is around $800k, but he’s responsible for $4m in billings

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47081522)



Reply Favorite

Date: November 21st, 2023 9:44 PM
Author: well-lubricated hairy legs

What's your hourly rate?

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084637)



Reply Favorite

Date: November 20th, 2023 11:25 PM
Author: burgundy beady-eyed macaca fanboi

sounds like retards scuffling performing jew math

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47080912)



Reply Favorite

Date: November 21st, 2023 2:23 PM
Author: Provocative Medicated Stage

mfcr

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082771)



Reply Favorite

Date: November 21st, 2023 3:01 PM
Author: Vivacious range hominid



(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082981)



Reply Favorite

Date: November 20th, 2023 11:26 PM
Author: dun marvelous selfie masturbator

sounds like the perfect storm for the firm to split up

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47080915)



Reply Favorite

Date: November 20th, 2023 11:26 PM
Author: narrow-minded nowag

that’s actually offensive.

op, i don’t want to come off as combative because i don’t know who you are. it seems you recognize there’s a problem and are hopefully taking the initial steps to solve it. but, as an intellectual exercise, i simply cannot imagine being represented by an attorney—a role that requires understanding all of the relevant facts of a given situation and using insight/positioning/leverage/creativity/etc. to achieve the optimal outcome therefrom—if this is the best he can do for himself.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47080916)



Reply Favorite

Date: November 21st, 2023 9:02 AM
Author: Sexy twinkling sound barrier

Wow man that only leaves a shitload of money for you, I'll say a prayer. Amazing you were butthurt enough to write that whole screed about it

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47081525)



Reply Favorite

Date: November 21st, 2023 9:02 AM
Author: amethyst meetinghouse elastic band

$210k is laughable

Enjoy poverty

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47081526)



Reply Favorite

Date: November 21st, 2023 2:19 PM
Author: Coral Pontificating Ape Water Buffalo

I live in are country. My house cost $465k and I pay $2k in property tax a year.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082748)



Reply Favorite

Date: November 21st, 2023 2:19 PM
Author: Learning disabled university

those taxes are abnormally low or you way overpaid for your house

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082750)



Reply Favorite

Date: November 21st, 2023 2:21 PM
Author: Coral Pontificating Ape Water Buffalo

we have a 180 credit system for primary residences. Vacation state where second homes are taxed to death.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082761)



Reply Favorite

Date: November 21st, 2023 2:24 PM
Author: Bespoke cobalt stead personal credit line

What's your rate?

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082778)



Reply Favorite

Date: November 21st, 2023 2:24 PM
Author: dashing location striped hyena

that's a horrible way to do things. fuck that.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082779)



Reply Favorite

Date: November 21st, 2023 2:24 PM
Author: Rusted cracking boiling water community account

My firm's formula, if it exists, is a secret

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082782)



Reply Favorite

Date: November 21st, 2023 2:26 PM
Author: Bespoke cobalt stead personal credit line

Are you a partner?

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082790)



Reply Favorite

Date: November 21st, 2023 2:53 PM
Author: Federal Love Of Her Life Forum

I get calls all the time from lawyers, accountants, doctors, whoever. " Okay. And how is your compensation calculated?" *Pause* " I have no idea"

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082919)



Reply Favorite

Date: November 21st, 2023 2:57 PM
Author: Rusted cracking boiling water community account

Well, I know how it's calculated. The remuneration committee exercises its infinite wisdom and writes down a number on a piece of paper.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082945)



Reply Favorite

Date: November 21st, 2023 3:02 PM
Author: Bespoke cobalt stead personal credit line

Is the idea that people don't respond to economic incentives, so why bother trying?

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082985)



Reply Favorite

Date: November 21st, 2023 3:04 PM
Author: Rusted cracking boiling water community account

I think the idea is that those in charge would prefer to take a "holistic approach"

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47082999)



Reply Favorite

Date: November 21st, 2023 3:15 PM
Author: Bespoke cobalt stead personal credit line

Read: They like blowjobs.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47083095)



Reply Favorite

Date: November 21st, 2023 8:55 PM
Author: adventurous sickened clown spot

WTF.

Assuming you paid off of your billings alone and billed 1,500 hours -- that's only $140 / hour.

How is that possible?

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084382)



Reply Favorite

Date: November 21st, 2023 8:56 PM
Author: adventurous sickened clown spot

Why would you not just go solo, WFH and make 2x as much working 1/2 as much?

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084386)



Reply Favorite

Date: November 21st, 2023 9:35 PM
Author: Bespoke cobalt stead personal credit line



(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084552)



Reply Favorite

Date: November 21st, 2023 9:05 PM
Author: Coral Pontificating Ape Water Buffalo

There is no planet in which you’re paid 100% of your billables. Get real bro

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084424)



Reply Favorite

Date: November 21st, 2023 9:35 PM
Author: adventurous sickened clown spot

I said "assuming..."

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084548)



Reply Favorite

Date: November 21st, 2023 8:58 PM
Author: Up-to-no-good topaz double fault business firm

The wills guys are more valuable because if your carrier leaves, you don't have anything. The will guys can get through good times and bad times.

Why can't you get non-ID clients? I started on almost 100 percent ID now I barely do any.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084392)



Reply Favorite

Date: November 21st, 2023 9:03 PM
Author: Coral Pontificating Ape Water Buffalo

I say ID, we’re about 30% ID, 60% SIRs and 10% wills. There is no scenario where wills guys could support the firm. They’re literally getting paid 60% of their collections as is. Probably generate 3/24 distributions per year.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084418)



Reply Favorite

Date: November 21st, 2023 9:12 PM
Author: Up-to-no-good topaz double fault business firm

What is SIRs?

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084449)



Reply Favorite

Date: November 21st, 2023 9:13 PM
Author: bateful electric furnace

Self insured retention

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084457)



Reply Favorite

Date: November 21st, 2023 9:42 PM
Author: Bespoke cobalt stead personal credit line

How is that different from insurance defense? Do they hire one firm until they hit the SIR and then pass it off to the insurer's chosen firm?

Whenever I've been involved in a case with a SIR, the insured cuts a check to the insurance defense firm or the insurer up front, and it proceeds like any other insurance defense case.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084620)



Reply Favorite

Date: November 21st, 2023 9:13 PM
Author: Coral Pontificating Ape Water Buffalo

Self insured retentions where company controls counsel selection. Better rates, more diversity of client base, less ID bs.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084459)



Reply Favorite

Date: November 21st, 2023 9:43 PM
Author: Bespoke cobalt stead personal credit line

What sort of policies?

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084626)



Reply Favorite

Date: November 21st, 2023 9:57 PM
Author: aquamarine cerebral jap point

How do you get ID clients

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084694)



Reply Favorite

Date: November 21st, 2023 9:37 PM
Author: aquamarine cerebral jap point

How did you get ID clients

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084572)



Reply Favorite

Date: November 21st, 2023 9:40 PM
Author: Up-to-no-good topaz double fault business firm

I have barely ever got any.

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084603)



Reply Favorite

Date: November 21st, 2023 9:20 PM
Author: sable chest-beating corn cake pit

Thought this said baby formula all day

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084502)



Reply Favorite

Date: November 21st, 2023 9:55 PM
Author: nubile chapel regret

Are you gen x lol

(http://www.autoadmit.com/thread.php?thread_id=5447693&forum_id=2#47084688)