One firm I was at (very small) had a monthly bonus if we hit billing goals, which is somewhat similar. I only say that to say it only works at a small scale imo.
I work at a firm that does profit sharing twice a year. The first half is divided based on performance metrics during busy season, the second half is a little more subjective, still based on metrics but also other goals. It's great. I've been there 10 years and wouldn't think of leaving. I can't believe more places don't do this. It's really hard to get and keep good accountants so we should be treated well, and nothing beats monetary appreciation in my book.
A lovely idea in concept, but public accounting firms will go to great lengths to avoid paying their employees more. A profit sharing program would likely mean that the partner would only be able to buy a new Mercedes once every 5-6 years compared to 3-4 years
Some companies have supplemental compensation packages which amounts to the profit sharing you mention, usually based upon billable hours billed and realization of amounts billed.
As you can imagine ... there are going to be serious issues with people gaming the system (we're accountants, we play with numbers and rules all day, so ... yeah there's that issue).
Profit sharing for what? Do employees play unpleasant golfs with potential clients? Do employees take all the responsibilities/ risks that partners take? I think what you are saying is an entrepreneur who came up with incredible idea, took all the risks by borrowing huge amounts of money, and spend all his hours and efforts to survive in the market should share profit with employees who just graduated college or who only thinks about WLB and benefits without taking the risks
Let me ask you a VERY simple question: if you get a job offer from BMW or Apple with shitty pay even though Enterprise and less well known brand companies gave higher salaries, would you take it without profit sharing?
Exactly. You go to the public accounting industry for the experience or the brand name B4 if possible. That's why no profit-sharing is given because accountants are a dime-a-dozen lemmings willing to even give head to get a job.
Not too hard to fathom, chief. You got a CPA, you should at least have some common sense. Supply and Demand. Seen this all the time. My two buddies who joined Apple did it for the name on the CV, NOT for the job. The jobs they got sucked. I heard the same thing with big name famous brand companies as well from a professor who did some research on work-culture among brand name companies.
I’m not sure where you going with this. That’s what most people do in any industry. Good company on the resume and hopefully a salary that makes the stress worth it along with good experience. Most people anywhere don’t show up just because they love their mega company.
Nope, because what happens in a big famous company, we call that segregation of duties. You may not have heard of it but you may look it up. You do know what that is right? We also have something called fiefdom. Sadly you have no experience in human interaction at those companies. Again, people are willing to give head to join famous companies without good experience from joining..interviewed too many from those candidates who can't answer some simple business concepts. Exceptional ones don't matter from good or no name companies.
You're completely loss. Companies and firms tend to expect some sort of experience and don't care how long you worked at that level once you're on board. This ain't kindergarten where your hands get held.
I don’t know where you work but in public accounting any prior experience a new hire would walk in with out of school is trash. Especially in this climate where tax and gaap rules change year to year. Anyone who could understand that would know that any internship experience is still not a great indication the person can hack it. If they can talk clearly and think on their own it’s a win in most peoples minds. Maybe it’s different in corporate, I’m speaking strictly public.
Some local B4 firms in my country do this but it's still pegged on how much you earn monthly. The local PwC would give x2 to x5 fheir monthly salary, depending on rating.
I might be remembering this wrong but I think GT considered it in the UK a few years back. The partners freaked out and ousted the managing partner who proposed it.
Current partners are already paying for the retired partners pensions. You think they will want to pay off some 1st year associate while they still havento pay off the loans they took out to buy into the partnership after working 20 years?
My accountants get a quarterly bonus based on what they bill vs their salary. It works as a great incentive to keep people motivated. Bonus terms improve as you work up the ladder and from Manager up, you get an annual bonus based on all the work you oversaw.
That would mean less money for the partners. You think they would willingly take less money or just burn out 24 year olds every other year
It always comes down to greed.
I would rather they just hire more people.
One firm I was at (very small) had a monthly bonus if we hit billing goals, which is somewhat similar. I only say that to say it only works at a small scale imo.
Because then Drake won't be able to throw a party for his day ones
I work at a firm that does profit sharing twice a year. The first half is divided based on performance metrics during busy season, the second half is a little more subjective, still based on metrics but also other goals. It's great. I've been there 10 years and wouldn't think of leaving. I can't believe more places don't do this. It's really hard to get and keep good accountants so we should be treated well, and nothing beats monetary appreciation in my book.
I actually just accepted a position at a place that also does profit sharing.
Pretty similar to how my firm does it
Same with my firm!
A lovely idea in concept, but public accounting firms will go to great lengths to avoid paying their employees more. A profit sharing program would likely mean that the partner would only be able to buy a new Mercedes once every 5-6 years compared to 3-4 years
[удалено]
It's a monopoly using the excuse and definition of a conglomerate to get away with it.
>Big4 >Monopoly Pick one
Pretty sure he meant Monopolistic.
>semantics >you pick both
Some companies have supplemental compensation packages which amounts to the profit sharing you mention, usually based upon billable hours billed and realization of amounts billed. As you can imagine ... there are going to be serious issues with people gaming the system (we're accountants, we play with numbers and rules all day, so ... yeah there's that issue).
Yes, and we should organise a union, lol
Profit sharing for what? Do employees play unpleasant golfs with potential clients? Do employees take all the responsibilities/ risks that partners take? I think what you are saying is an entrepreneur who came up with incredible idea, took all the risks by borrowing huge amounts of money, and spend all his hours and efforts to survive in the market should share profit with employees who just graduated college or who only thinks about WLB and benefits without taking the risks
To add, an employee that wants profit sharing in public has a path to do exactly that. It's called making partner.
Let me ask you a VERY simple question: if you get a job offer from BMW or Apple with shitty pay even though Enterprise and less well known brand companies gave higher salaries, would you take it without profit sharing? Exactly. You go to the public accounting industry for the experience or the brand name B4 if possible. That's why no profit-sharing is given because accountants are a dime-a-dozen lemmings willing to even give head to get a job.
What
Not too hard to fathom, chief. You got a CPA, you should at least have some common sense. Supply and Demand. Seen this all the time. My two buddies who joined Apple did it for the name on the CV, NOT for the job. The jobs they got sucked. I heard the same thing with big name famous brand companies as well from a professor who did some research on work-culture among brand name companies.
I’m not sure where you going with this. That’s what most people do in any industry. Good company on the resume and hopefully a salary that makes the stress worth it along with good experience. Most people anywhere don’t show up just because they love their mega company.
Nope, because what happens in a big famous company, we call that segregation of duties. You may not have heard of it but you may look it up. You do know what that is right? We also have something called fiefdom. Sadly you have no experience in human interaction at those companies. Again, people are willing to give head to join famous companies without good experience from joining..interviewed too many from those candidates who can't answer some simple business concepts. Exceptional ones don't matter from good or no name companies.
They are entry level hires for a reason what are you expecting a savant for? Anyway agree to disagree.
You're completely loss. Companies and firms tend to expect some sort of experience and don't care how long you worked at that level once you're on board. This ain't kindergarten where your hands get held.
I don’t know where you work but in public accounting any prior experience a new hire would walk in with out of school is trash. Especially in this climate where tax and gaap rules change year to year. Anyone who could understand that would know that any internship experience is still not a great indication the person can hack it. If they can talk clearly and think on their own it’s a win in most peoples minds. Maybe it’s different in corporate, I’m speaking strictly public.
Some local B4 firms in my country do this but it's still pegged on how much you earn monthly. The local PwC would give x2 to x5 fheir monthly salary, depending on rating.
I might be remembering this wrong but I think GT considered it in the UK a few years back. The partners freaked out and ousted the managing partner who proposed it.
This was announced in Australia a while back, haven’t heard anything since it was mentioned
I work at a regional firm that has profit sharing. It’s just not as large of a piece of the pie as you’d hope for lol.
Current partners are already paying for the retired partners pensions. You think they will want to pay off some 1st year associate while they still havento pay off the loans they took out to buy into the partnership after working 20 years?
My accountants get a quarterly bonus based on what they bill vs their salary. It works as a great incentive to keep people motivated. Bonus terms improve as you work up the ladder and from Manager up, you get an annual bonus based on all the work you oversaw.