Essential Components of a Partner Compensation System

Inside Public Accounting reports on the compensation program of J.H. Cohn, Roseland New Jersey (510 staff).  J.H. Cohn utilizes a hierarchy that designates the highest to the lowest level in terms of partners’ contributions. Here is the ranking from highest to lowest:

            Management Partners—Those who manage a practice unit or office and are rainmakers.

            Client Service Partners­­—Those who have substantial client relationships and bring in new business, but are not in management.

            Client Service Partners—Those  who do not bring in new business.

            Management Partners—Those who manage a small part of the firm, but do not have significant client responsibility and do not bring in new business.

            Technical Partners—Those with significant billable time, but do not bring in new business.

For the complete article, see Inside Public Accounting, December 2004, p. 7.