Help with Compensation for an Employee

[drazaie]

I have a great employee and I am having a hard time compensating him an a fair way. I don't want to loose this employee please help.

This employee is fully licensed
He works 40+ hours week
He works on weekends if need be
He helps manage/train employees
Independent worker
College experience

He quotes personal and commercial lines
He sales personal and commercial polices
He has a strong knowledge base for commercial and personal lines
He services all product lines (personal, commercial, life)
He manages all my polices (3,000+ PIF)

Does bank deposits
Manages cash flow that comes in and out of the agency
Tracks agency commissions/ charge backs
Handles and pays all 10 companies I am appointed with.
Keeps track of all bills/ expenses/ overhead/ donations/ ETC
Orders supplies for office

Makes the business run smooth

There is so much more that he does.

I never worry about him wasting time.
He is a hard worker.

What would you pay for this employee?

 

[truthclimb]

I have a great employee and I am having a hard time compensating him an a fair way. I don't want to loose this employee please help.

This employee is fully licensed
He works 40+ hours week
He works on weekends if need be
He helps manage/train employees
Independent worker
College experience

He quotes personal and commercial lines
He sales personal and commercial polices
He has a strong knowledge base for commercial and personal lines
He services all product lines (personal, commercial, life)
He manages all my polices (3,000+ PIF)

Does bank deposits
Manages cash flow that comes in and out of the agency
Tracks agency commissions/ charge backs
Handles and pays all 10 companies I am appointed with.
Keeps track of all bills/ expenses/ overhead/ donations/ ETC
Orders supplies for office

Makes the business run smooth

There is so much more that he does.

I never worry about him wasting time.
He is a hard worker.

What would you pay for this employee?

One milllioooonnnnn dollars. Just kidding.

It would help to know how you are currently compensating him. I would be careful if you choose to take the advice below. Lunch is always nice, but money talks.

Also, an employee may tell the boss he his happy to their face if asked, but may just be waiting for a better offer to come around until he leaves.

Does he have any benefits, commission, etc?

 

[Josh]

Money is certainly important, but it's also important to realize that most people would be willing to take a pay cut to feel valued and enjoy they're work. Of course if they're compensated well AND feel valued all the better. Obviously they're happy enough with what they're currently paid to do their job and do it well. If I were in your spot I'd take them out for an appreciation lunch, explain how much I value what they did for me, ask how happy they were, and as long as they're happy finish it out with a small raise.

 

[shawnmwalker]

How big is the agency? What other staff do you have? Sounds like he is linchpin for you. What quality of life does this gent afford you? How much is that worth to you?

 

[drazaie]

The only benefit I offer is paid holidays at regular pay.
He currently makes $13.50 an hour and I pay him 40% commission on new business and 30% on renewals, But since he is working by him self there is no time for him to sale. When a new employee is hired he trains them but they don't last long. So he is always push into a position that doesn't have room to sale.

Even though he is paid commission it is very hard for him to sale giving all the other things he does on a daily bases.


I am thinking of offering a good salary pay with no commission or a decent salary pay with college tuition benefit. I just cant figure out what a good starting salary for each option.

----------

I have about 3,000 policies with many different carriers. That number doesn't include any life or FFS.

 

[shawnmwalker]

I'm going to stay out of this one as I know you will not like my answer. Sounds like he is worth A LOT to you. More then he knows or he would be leveraging it for more.

 

[drazaie]

I would like to hear you opinion. Even if it not what i want to hear. Sometimes we need to hear these things.

 

[Josh]

I'm going to stay out of this one as I know you will not like my answer. Sounds like he is worth A LOT to you. More then he knows or he would be leveraging it for more.

I don't know man, some people like showing up for a job, getting paid, and not having to think about everything that comes with being self-employed.

 

[ctg]

Call me a cynic. Sounds like the thread should be called "Help with compensation for me as an employee." Most employers don't write a resume for their employees and do have a good idea how to compensate their exceptional ones.

If I'm wrong, I apologize. If I'm right, just ask how others pay their employees and if your situation is fair.

 

[Herkster]

Call me a cynic. Sounds like the thread should be called "Help with compensation for me as an employee." Most employers don't write a resume for their employees and do have a good idea how to compensate their exceptional ones.

If I'm wrong, I apologize. If I'm right, just ask how others pay their employees and if your situation is fair.

This was my first thought too, an employee that is looking to see if his wage is fair versus the industry standard (if there is such a thing...)