100 / 113
Analysis of Agencies with Revenues Greater Than $10,000,000
100 of 113
III. Expenses (Agencies with Revenues Greater Than $10,000,000)
Average +25% Profit +25% Growth
Compensation Expense
Total Payroll
56.9% 54.7% 58.5%
Benefits
9.4%
9.1%
9.6%
Total Compensation
66.2% 63.8% 68.1%
Selling Expenses
T & E/Conventions
2.5%
2.8%
2.6%
Automobile
1.1%
1.0%
1.3%
Advertising/Promotions
1.0%
1.0%
0.9%
Total Selling
4.7%
4.8%
4.8%
Operating Expenses
Occupancy
4.0%
3.0%
3.4%
Telephone
1.4%
1.3%
1.7%
Postage
0.8%
0.8%
0.8%
Supplies/Printing
1.4%
1.3%
1.2%
Dues/Subscriptions/Contributions
0.9%
0.9%
1.1%
Taxes/Licenses
0.3%
0.4%
0.4%
Insurance
1.2%
1.1%
0.9%
Professional Fees
1.3%
1.6%
1.1%
Equip Rental/Maint
0.7%
1.1%
0.7%
Bad Debts
0.3%
0.1%
0.2%
Outside Services
0.5%
0.5%
0.9%
Data Processing
1.0%
0.3%
1.2%
Education/Training
0.4%
0.5%
0.4%
Miscellaneous
0.8%
0.2%
0.5%
Total Operating
15.0% 13.1% 14.6%
Administrative Expenses
Amortization
1.4%
0.7%
0.7%
Depreciation
1.9%
2.3%
1.8%
Officer Life
0.2%
0.1%
0.2%
Interest
0.8%
1.0%
0.2%
Other
0.9%
0.1%
0.0%
Total Administrative
5.2%
4.3%
2.9%
Total Expenses
91.2% 86.0% 90.3%
Pre-Tax Profit
8.8% 14.0%
9.7%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
% Net Revenue
Compensation
Selling
Operating
Adminstrative
Average +25% Profit
+25% Growth