how to pay non-equity partners

businessmen standing on dollar billdeferred compensation is on the rise.

by marc rosenberg
partner comp: art & science

there are obvious differences between equity and non-equity partners, including how they are compensated.

more on partner compensation:3 rules for promotion to partner | the 8 basics for data-based partner performance evaluations | how to set the managing partner’s compensation | crash course: operating a compensation committee | partner pay: open vs. closed compensation systems | the 3 best partner compensation formulas

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however, the differences aren’t as great as many people think.

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3 rules for promotion to partner

pocket moneyreward them, don’t discourage them.

by marc rosenberg
partner comp: art & science

three general philosophies should apply for all partner promotions:

more on partner compensation: the 8 basics for data-based partner performance evaluations | 5 types of partner evaluations | how large and small firms allocate income | partner pay: recapping the compensation systems | 5 other systems for paying partners | why firms use partner comp formulas

 

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  • getting promoted in any business should be celebrated. in cpa firms, the promotion to partner is a career-making event, deserving of a nice promotion raise. a common range is 10-15 percent in the first year.

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