ep 46 Compensation - The ins and outs of building a successful compensation strategy for your business cover art

ep 46 Compensation - The ins and outs of building a successful compensation strategy for your business

ep 46 Compensation - The ins and outs of building a successful compensation strategy for your business

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 Brad's finance team noticed something weird in the 2026 budget and called the payroll company. The payroll company had no idea what they were talking about. Turns out 2026 has 27 pay periods instead of 26 if you're running bi-weekly payroll, and this hasn't happened in over a decade. It won't reverse itself in 2027 either. If you're not budgeting for that extra paycheck right now, you're heading for a cash crisis in December. Then comes the fun part. Brad has to tell 580 employees their paychecks are getting smaller. They think he's cutting their pay. He's not, it's the same annual salary, just spread over 27 periods instead of 26. But try explaining that math without starting a revolt. This is episode 46. The compensation disasters nobody warns you about. *YOU'LL DISCOVER* • Why 2026 has 27 paychecks and what it costs • Brad's $250K merit increase that tanked morale • The competitor tax scam stealing employees • Why premium pay requires premium pricing *WHAT ACTUALLY WORKS* • Budget 27 pay periods NOW for 2026 • Communicate early about smaller checks (same annual pay) • Show full comp math including taxes and benefits WHO THESE GUYS ARE Brian Balduf co-founded and sold VHT Studios. Brad Balduf runs By Your Side Autism Therapy with 550 employees across 11 centers. Matt Croke keeps it honest and pulls out the chaos. They've been there, survived it, and have the scars to prove it. *THE UNCOMFORTABLE TRUTH* "I spent $250,000 on merit increases during our worst year. Employees said 'that's it?' I'd rather have given zero, kept the cash, and had the same bad morale." Ever given raises that made things worse? Drop a comment. 👇 SUBSCRIBE for real business talk every Friday. No LinkedIn energy. TIMESTAMPS 0:00 - The 27th paycheck bomb 2:11 - Why 2026 breaks your budget 7:22 - Brad's $250K merit disaster 16:42 - The competitor tax scam 20:25 - Top 20% pay vs reality *ABOUT CEO BROS AFTER HOURS* CEO BROS: After Hours is raw business talk from CEO brothers Brian Balduf (VHT Studios) and Brad Balduf (By Your Side Autism Therapy) with host Matt Croke. Every Friday they share what actually happens building companies: brutal failures, scaling disasters, and the messy truth about leadership. No corporate polish. No LinkedIn energy. Just honest stories from the trenches. ———————————— 🍸 *WIND DOWN WITH THE BROS: THIS WEEK'S COCKTAILS* Three drinks for three compensation disasters. Pick the one that matches your Friday. 🍸 *THE 27TH PAYCHECK* Brad Balduf - Found the bomb nobody else saw Recipe: • 2 oz Japanese whisky • 1 oz sweet vermouth • ¼ oz maraschino liqueur • 2 dashes orange bitters • Brandied cherry garnish • Stir with ice, strain into coupe The Vibe: Smooth until the surprise hits. Brad's finance team called the payroll company about 2026. They had no clue either. 27 pay periods instead of 26. Happens once a decade. This drink looks elegant until you realize there's an extra layer you didn't budget for. 🍸 *THE MERIT MASSACRE* Brian Balduf - When good intentions wreck morale Recipe: • 2 oz añejo tequila • ¾ oz lime juice • ½ oz agave nectar • ¼ oz Cointreau • Tajín rim • Shake hard, strain over ice The Vibe: Brad gave 1.5% merit increases during the toughest year. Cost $250K the company didn't have. Employees complained anyway. "That's it?" He wishes he'd given zero, kept the cash, had the same bad morale without the black eye. Sometimes the generous move still loses. 🍸 *THE TAX TRAP* Matt Croke - For the employees who got fooled Recipe: • 2 oz silver rum • 1 oz pineapple juice • ¾ oz coconut cream • ½ oz lime juice • Pineapple wedge • Shake hard, strain over crushed ice The Vibe: Competitors promised "$10 more per hour" but didn't withhold taxes. Employees bolted. Brad pulled them into conference rooms with calculators. "You're getting paid less." Some still didn't believe it. This drink looks tropical and sweet until you realize the bill comes later. Make all three. Figure out which disaster you're facing. The hidden paycheck? The raise that backfired? The too-good-to-be-true offer? Tag us. JOIN THE CONVERSATION* https://x.com/CeoBrosAH https://www.instagram.com/ceobrosah/ https://www.facebook.com/CEOBrosAH https://www.linkedin.com/company/ceo-bros #Entrepreneurship #Payroll #CompensationStrategy #BusinessFinance #EmployeeManagement Music: "Back to Black" by Rockin' For Decades (licensed through Epidemic Sound)
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