116 / 168
2014 Best
Practices Study
Agencies
with Revenues
Between
$10,000,000 and
$25,000,000
116
Analysis of Agencies with Revenues Between $10,000,000 and $25,000,000
Key Benchmarks
Profile
Revenues
Expenses
Profitability
Employee Overview
Producer Info
Service Staff Info
Technology
Insurance Carriers
Appendix
Expenses
(as % of Net Revenues)
Average
+25% Profit
+25% Growth
Compensation Expenses
Payroll: Employee
54.9%
50.6%
51.5%
Payroll: “Non-Employee” - 1099 Producers/Temp Help
1.3%
0.5%
3.8%
Total Payroll
56.2%
51.1%
55.3%
Benefits: Payroll Taxes
3.3%
2.6%
3.1%
Benefits: Retirement
1.6%
1.3%
2.0%
Benefits: Insurance
3.4%
3.2%
3.3%
Benefits: Other
0.2%
0.2%
0.1%
Total Benefits
8.5%
7.4%
8.5%
Total Compensation
64.7%
58.5%
63.8%
Selling Expenses
T&E/Conventions
1.4%
1.3%
1.6%
Auto Expenditures
0.6%
0.4%
0.6%
Auto Depreciation
0.1%
0.0%
0.1%
Total Auto
0.6%
0.4%
0.7%
Advertising/Promotions
1.2%
1.0%
1.2%
Total Selling
3.2%
2.7%
3.5%
Operating Expenses
Occupancy Expenditures
3.7%
3.4%
4.0%
Occupancy Depreciation/Amortization
0.2%
0.1%
0.1%
Total Occupancy
3.9%
3.5%
4.1%
Office Equipment Expenditures
0.4%
0.2%
0.5%
Office Equipment Depreciation
0.4%
0.6%
0.6%
Total Office Equipment
0.8%
0.7%
1.1%
IT (Information Technology)
2.1%
2.1%
2.1%
IT Depreciation/Amortization
0.3%
0.3%
0.2%
Total IT
2.3%
2.4%
2.3%
Telephone
0.6%
0.4%
0.6%
Postage
0.3%
0.3%
0.4%
Supplies/Printing
0.7%
0.6%
0.8%
Dues/Subscriptions/Contributions
0.7%
0.7%
0.7%
Taxes/Licenses
0.4%
0.4%
0.4%
Insurance
1.2%
1.0%
1.2%
Professional Fees
1.3%
1.9%
2.6%
Bad Debts
0.2%
0.1%
0.0%
Outside Services
0.9%
1.0%
0.9%
Education/Training
0.3%
0.2%
0.4%
Miscellaneous
0.6%
1.4%
0.5%
Total Operating
14.2%
14.5%
16.0%
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