47 / 204
2013 Best
Practices Study
Agencies
with Revenues
Between
$1,250,000 and
$2,500,000
47
Analysis of Agencies with Revenues Between $1,250,000 and $2,500,000
Key Benchmarks
Mgmt. Perspectives
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
44.9%
34.0%
44.2%
Payroll: “Non-Employee” - 1099 Producers/Temp Help
3.3%
3.6%
3.0%
Total Payroll
48.2%
37.6%
47.2%
Benefits: Payroll Taxes
3.5%
2.8%
3.9%
Benefits: Retirement
1.5%
0.2%
1.0%
Benefits: Insurance
3.0%
2.5%
3.8%
Benefits: Other
0.4%
0.1%
0.4%
Total Benefits
8.4%
5.6%
9.1%
Total Compensation
56.6%
43.2%
56.3%
Selling Expenses
T&E/Conventions
1.1%
1.0%
1.2%
Auto Expenditures
1.0%
1.1%
0.9%
Auto Depreciation
0.2%
0.2%
0.1%
Total Auto
1.1%
1.3%
1.0%
Advertising/Promotions
1.5%
1.7%
2.1%
Total Selling
3.8%
4.0%
4.3%
Operating Expenses
Occupancy Expenditures
4.5%
3.5%
4.5%
Occupancy Depreciation/Amortization
0.2%
0.1%
0.0%
Total Occupancy
4.7%
3.6%
4.5%
Office Equipment Expenditures
0.5%
0.5%
0.7%
Office Equipment Depreciation
0.5%
0.2%
1.0%
Total Office Equipment
0.9%
0.6%
1.7%
IT (Information Technology)
2.1%
1.2%
2.0%
IT Depreciation/Amortization
0.2%
0.0%
0.2%
Total IT
2.3%
1.2%
2.3%
Telephone
0.9%
0.8%
1.1%
Postage
0.4%
0.5%
0.4%
Supplies/Printing
1.1%
1.3%
1.6%
Dues/Subscriptions/Contributions
1.0%
0.8%
0.9%
Taxes/Licenses
0.4%
0.3%
0.3%
Insurance
1.4%
1.1%
1.4%
Professional Fees
0.8%
0.8%
1.1%
Bad Debts
0.1%
0.0%
0.1%
Outside Services
0.8%
0.3%
0.2%
Education/Training
0.3%
0.3%
0.4%
Miscellaneous
0.5%
0.2%
0.4%
Total Operating
15.7%
11.7%
16.3%
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