In reading “ Meyners Pays for Performance ” ( JofA , Jul.03, page 41), I felt the firm engaged in overkill in transforming its compensation system.
Our firm has adopted a much simpler approach. It includes a 7% override of gross billable revenue (less $15 per tax return to cover overhead) and 50% of revenue generated from new services created by the CPA and adopted by the firm. This compensation is in addition to the usual complement of salary, overtime and benefits.
We find this system to be revenue-additive for the firm and competitive for the CPAs.
Dale Schwartzenhauer, CPA,
CMA, CFM
Jim Johnson & Co.
Walla Walla, Washington