Include These Criteria in Your Partner Compensation Plan

Source: Partner’s Report—The Monthly Update for CPA Firm Owners

Here are 12 criteria: 

1. New client development
2. Keeping clients through good service
3. Delegation to colleagues and subordinates, including delegation of client control responsibilities
4. Productivity—number of engagements managed
5. Seniority
6. Management and leadership, including practice management, marketing, and recruiting
7. Compliance with rules and policies of the firm, including time sheets, etc.
8. Development of special expertise crucial to the firm
9. Teamwork, including:
   a. Staff relationships
   b. Support of staff
   c. Respect for others
   d. Control of criticism, but when necessary doing it privately
   e. Cross-selling
10. Participation in firm social activities, professional meetings, etc.
11. Staff development
12. Community involvement and professional activities

From Partner’s Report—the Monthly Update for CPA Firm Owners, November 2005, p. 5. For subscription information contact Institute of Management & Administration, Inc., 3 Park Avenue, 30th Floor, New York, NY 10016-5902. One-year subscription $329. 212-244-0360, [email protected]