EntreLeadership - My Loyal Employee Can’t Do the Job (Should I Promote Him?)
Episode Date: September 22, 2025Today, we’ll hear about: An operations manager looking to promote his replacement, but he’s underqualified A business owner looking for ways to lower his tax bill—but there’s a catch... How Dave Ramsey overcame loneliness in leadership A flourishing business considering when to implement profit sharing with its team Next Steps: 📞 Have a question for the show? Call 844-944-1070 or send us a message: https://ter.li/ask-us 📚 Learn about the EntreLeadership System: https://ter.li/system-p 💻 Get EntreLeadership Elite for your business: https://ter.li/elite-p ✉️ Sign up to receive tactical tools, advice and resources in your inbox every week: https://ter.li/enl 🏢 Attend EntreLeadership Summit: https://ter.li/summit 🎤 Attend EntreLeadership Master Series: https://ter.li/masterseries 📖 Order Dave’s new book, Build a Business You Love: https://ter.li/b4kru2 📃 Build your KRA for free: https://ter.li/ks4jnp Connect With Our Sponsors: 💼 Go to Belay Solutions or text ENTRE to 55123 for their free resource! 💻 Visit NetSuite today to learn more. 🧾 Visit Payority for a free consultation! 📈 Grab Sales Gravy's free resource to help you hire and lead better. Listen to More From Ramsey Network: 🪑 Front Row Seat with Ken Coleman 🎙️ The Ramsey Show 💸 The Ramsey Show Highlights 🧠 The Dr. John Delony Show 🍸 Smart Money Happy Hour 💡 The Rachel Cruze Show 💰 George Kamel Ramsey Solutions Privacy Policy Learn more about your ad choices. Visit megaphone.fm/adchoices
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From the headquarters of Ramsey Solutions, this is Entree Leadership, where I take calls from leaders like you about what it takes to win at any stage of business and leadership.
I'm Dave Ramsey, your host with over 30 years of experience leading in the trenches right alongside you.
If you've got a question you want to ask on the show, fill out the form at Entreeleadership.com slash ask or call and leave us a voicemail at 844-944-1070.
That's 844-944-1070.
Thomas is in Greenville, South Carolina.
Hey, Thomas.
How are you?
I'm doing well.
Thanks for taking my call.
Sure.
How can we help?
So I'm an operations manager for a manufacturing company
in the electrical utilities business.
And I am in the process of going through the succession planning.
and so my boss is planning to retire in the next couple of years
and I'm looking to see who can take my spot.
The guy that is underneath me that would be the natural fit
has been here longer, he's got the tenure,
but I don't know if he's got the technical skills
and the attention to detail and customer-facing presence that we need.
And so I'm trying to figure out how can I figure out
if I can train him or if we need to be looking for somebody else to fill that role.
Hmm.
How long have you got?
At least a year and then I'm going to move into another role,
and at that point I'll need backfilled.
Okay.
And, well, I mean, the things that you're asking him to learn to do,
I would very, very clearly and in great detail, write those out.
Like if it's 10 pages even, okay?
And, you know, then I'd sit down with him and give him that document and say,
this is what it's going to take for you to be in this role.
By your good work up to this point,
you've earned the right to have a shot at this role.
but the role is not going to be given to anyone unless they can do these things
regardless of who it is so you're not going to we don't move we're not moving anyone into any
slot in this company that can't do the job just because they've hung around here a long time
yeah okay and so the seniority doesn't matter in that sense it doesn't guarantee that we move you
to the level of incompetence so you don't say that but that's what's running through your head okay now
So anyway, you cover it with him exactly what it would be and go, okay, for the next 30 days,
I want to work with you on these three different areas, and I need to see something demonstrated that you can do these three areas.
And I'm going to put you in places where you have the opportunity to show that you are learning to do these three things at a degree higher than you're able to do them today.
You've got to get better at all three of these things to get this role.
and I want to help you get there.
So this is called training you up so you get the job, in other words.
And this is you just talking to it, talking, giving him the reality of the situation.
It's not a threat.
It's I'm here to help you.
I want you to get this.
I want you to win.
And here's what winning looks like.
And I'm going to help you work on adding these tools to your tool belt during the next 30 days.
I need to see some substantial progress when I put you in these meaningful situations.
So I'm going to put you in a customer-facing situation.
I'm going to coach you through what to do.
Then I'm going to watch you do it.
And then I'm going to help you afterwards, and then we're going to do it again.
And I'm going to put you in a detail-oriented situation, and I'm going to need you to flesh through the details.
I'll show you how to do it.
And then I want you to do it the way I did it.
And I'm going to watch you do it and see if you're really catching on.
And so is customer-facing detail orientation?
And what was the other thing?
I see.
Customers, attention, detail, and just technical.
the technical apparatus of what we do.
Okay.
So there's a way to put him in that same situation
to see if he can function in that.
But obviously, someone told you how to do it,
so you're going to tell him how to do it.
Yep.
And then see if he can do it.
And obviously, too, on all three of these things in 30 days,
we're not going to expect perfection or completion,
but we need to see progress, which answers the question is,
do you have the capacity to get there
if I work with you for a year?
And during this 30 days, we're going to figure that out.
That's you and, I mean, that's me and you talking.
That's not him.
But, I mean, I'm going to put him in all kinds of situations.
And the test is not to see, can he do the job completely in 30 days?
Because I don't think he can.
I don't think anybody could do that in 30 days.
But can he make enough progress that makes you believe he could get there in a year?
Okay.
And he and I have very different personalities,
and it plays well in our production role.
but he's a little bit more of a hard charger,
but to fill my position,
he's got to have a little bit more a softer touch.
How do I coach him through that,
or how much do I just accept,
hey, this is part of who he is,
and if I'm going to move him here,
he's not going to do it the same way I did it.
Well, to the extent that his style is causing him to not be able to do the job,
then he's going to have to have a softer touch.
I'm a hard charger,
but there are times I need to have a soft touch.
and I have to have that ability.
Okay.
And you do, I mean, and you have a natural soft touch,
but there's times you have to be a hard charger.
Yeah.
So you step up and into that,
and that's just maturity within your style.
But, you know, if he's going to make people mad
and calls that his style, that's not a style.
That's just a lack of awareness.
Yeah.
You know, so that, you can't, well, that's just the way I am.
No, it's being an idiot.
That's not the way you.
you are. You don't want to do that. So, you know, that's the thing. So, no, that's, that's,
but I, I think you take into consideration the style differences, but if the style is not an excuse to not
be able to do something. Okay. Okay. And if it is, if it is, if it keeps him, if it's so ingrained,
and it's, it keeps him from being able to do this position, then you're just going to have to
tell him that.
Yeah.
You know, that means he's not trainable, in other words.
So, okay.
Yeah, I can, we all can adapt to a situation that needs to be, you know, that use wisdom instead of style.
And, yeah, so style explains, you know, how things can go sideways, but it also explains my natural
tendencies.
But it doesn't explain a lack of people smarts.
You can have people smarts from any style.
And sometimes a soft touch, sometimes a pushy touch.
Both of those are appropriate at different times, and that puts you in the right place.
So, yeah, that's a good question.
Thomas, you've got a good head on your shoulders.
You've really thought this through.
You're doing a great job.
I got a feeling you're going to be able to train this guy.
I just got a feeling this is going to work.
Thanks for calling.
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in Jacksonville, Florida. Hey, Tyler, what's up? Hey, David, it's pleasure talking to you. How are you doing?
Better than I deserve. How can I help? Do I own a moving company just outside of Jacksonville,
Florida, and I do about $1.9 million last year with 17 employees, roughly. And my question for you
today is we are having a rather profitable year this year compared to last year, about a
roughly 12 to 15% difference net profit and increased, of course.
And that being said, I'm trying to figure out some different avenues that I might be,
like that I might should consider to decrease my tax liability,
or should I just bite the bullet and pay the tax bill?
It's a problem with making more money.
You know, you got a tax problem now, so because you got an income,
because your income's awesome.
Okay, rule number one is don't buy stupid stuff you don't need.
to save on taxes, because if you get a $10,000 write-off or $100,000 write-off on something that you didn't need,
your only tax benefit, it only saves you about $30,000 in taxes.
And so, you know, a tax write-off is a dollar trade for $0.30. So you don't buy stuff that you don't need,
okay, just to write it off. And you don't do things with money that you shouldn't be doing just to get a write-off.
So if tax is your only motivator, you'll usually make a dumb decision.
I've tried that myself a time or two.
So the second thing then is get with your tax professional and have them walk you through
what you're able to do with depreciation under the Big Beautiful Bill this year.
In 25, not in 24, but in 25, you're going to be able to write off a bunch of stuff
in a single year that you used to have to depreciate.
and so if you need some equipment, you know, and you've got the cash for the equipment and the equipment is going to ROI, well, you'll be able to get a huge write-off for it in this calendar year.
And again, you won't see the benefit of it tax-wise until you file after the first of the year.
But that's the thing.
So anyway, get with your tax accountant and figure that out.
Is there any actual, I mean, you're in the moving business, so trucks come to mine.
or, you know, forklifts come to mind or whatever, I don't know,
whatever other pieces of equipment you use,
or anything that since you're sitting on some cash from some extra profits,
it's been a banner year, do we need to move on up in equipment
to increase our profits even more next year?
Well, yeah, that's the dilemma that I'm in,
is because this year was the goal was to stack cash.
Last year we found ourselves in a little bit of a cash pinch
to where we had pretty much a two-week runway.
And so this year, we're much better off
and in a much better position, cash-wise.
How much cash are you sitting on?
About 150 right now.
Okay.
Goal is about $350, which would be three months of expenses.
Okay, cool.
All right.
Well, then we're just building the emergency fund
and you're retained earnings
and you're just going to pay taxes on it.
Okay.
There's not a mystical thing
that this idea that rich people don't pay taxes is a freaking joke.
Rich people pay a lot of taxes.
Right, right.
Well, my CPA had even mentioned, too,
doing the Roth RA and doing a 401K and sending up that,
but I didn't feel like cutting off my own hands to the cash,
especially considering in our personal lives.
My wife and I are still on Baby Step 2,
so we're not quite ready for that step in the process.
You're in Baby Step 2.
and you've stacked 150K in the business that you own 100% of?
Yes, sir.
Yeah.
What's it take to pay off your personal debt?
About 45.
Oh, I'd do that today.
Okay.
I wouldn't have return earnings that large while I had 45K at home sitting there.
I'd clear that.
Even with...
That doesn't help your taxes at all, but that's a sidebar.
Right.
Even with the seasonal business that we are,
like we're about to head into winter season,
which is just naturally and historically slower for,
the moving industry.
Yeah, but you break even during those months.
You just don't make a lot of profit.
Sure, true.
Okay.
You're not going to, you're not going to need the cash to survive during those times.
Yeah, you're right.
Yeah.
Yeah.
Okay.
Yeah, because you've got this thing rolling.
And by the way, you may have it rolling hard enough that it rolls right through that season, too.
You may have, if you jam that pipeline up good and full and you just work at, keep working
like you're like a maniac like you have been, you may see that seasonality not be as extreme.
Okay.
We've experienced that in some of our areas where we used to have more severe dips than we do today.
And the seasonality didn't really change.
We just built up such a wave of business that it runs all the way through there,
and we hardly realized that we went through a season change.
And that's not always true, but momentum, in other words,
and just cash flow can push you through those things and availability.
So, no, you're probably not ready to buy.
did all that whole thing on equipment and you're probably not ready to do that i'd pay off 45 i'd
sit on the rest of it and i'd pay my taxes if i were in your shoes and um that's the problem
with a um a sub s or an LLC or a sole proprietorship any money we try to keep in the business
we have to pay taxes on because it's profit and so when Washington says we love small businesses
we want to help small businesses they lie because that's an unfair tax code
that I hold money in my retained earnings in my business.
I didn't take it home.
I didn't spend it.
I didn't do anything.
It's sitting here for survival purposes and for prospering purposes,
but I have to pay tax on it for it to sit there.
And so, anyway, that's what you're looking at.
I would just pay my taxes in this, and I'd pay off the $45,000 a day.
I made your wife happy today.
That's pretty cool.
She's going to, who-hoo.
My husband just bonused himself $45K and we're,
We're out of that.
Woo-hoo.
We're that free.
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Derek and Texas says, Dave, one thing I didn't expect when I started my business was how lonely leadership can feel.
The weight of decisions, the pressure to protect the culture, and the lack of peers who really understand it can get heavy.
How did you stay grounded and connected when you were building Ramsey Solutions in the early days?
And what advice would you give to leaders who feel like they're carrying it all alone?
Well, Derek, the reason you feel like you're carrying it all alone is because you're carrying it all alone is because you're carrying it.
it all alone. That's why it feels that way. And it is heavy and it is lonely. And it is one of the
prices of choosing to serve by being a leader, by owning and running something and serving others.
It goes with the territory. How did I deal with it in the early days? Well, today the way I deal with
it is I have a wonderful team around me here. And so it's not lonely because my leadership
team is very mature, very sophisticated, very smart, and we're all there for each other inside the
building. What I did in the early days was I would recommend you do something like get to
Entree leadership and get in one of the advisory groups. The advisory groups are, it's a group
coaching thing, and we put you in with companies your size in industries like yours. And so there's
eight or ten leaders in the group together, and they're sharing problems, emotions, ideas,
milestones, celebrations.
And so there's a group that you are now part of, and they're just like you, and they're in it
for the exact same reasons that you're there.
They want information and inspiration and accountability, and they don't want to be lonely.
And so the advisory groups would be my first choice for you.
the thing I did, I did not have the thing like an advisory group available to me, at least if I did, I didn't know about it.
What I did is I just got on the email and I emailed some business leaders and ministry leaders in the area
and ask if they wanted to do a weekly Bible study together.
And it's not something I'm teaching.
It's something we together are doing because these were all guys that were doing as much business as I was doing or more.
like I mean I was doing 50 million or something and I wanted somebody in the room that was doing 100 or 200 million because they think different and I wanted that I wanted to be around people because you become who you hang around with right and so we called it the Eagles group and we met every Wednesday morning for 14 years all the way through my 30s up into my 40s and discussed a lot of business things in there but a lot of life things a lot of spiritual discussion about our faith obviously it was
started as a Bible study, and we had a lot of discussions about relationships, marriage, family
kids. We went through a lot of stuff in 14 years together, and it was a great group of men.
And, you know, a couple of them have passed away since then, and one while we were in the group,
and we've lost at least one more, maybe more from the old days, but that group disbanded.
after 14 years it had run its course.
And I put together another group of guys, much less serious, just a bunch of goof-offs.
But at least I'm hanging out with somebody.
They're good men.
They're men that read.
We have great discussions on books.
And that group has been together almost 14 years now.
So I think it's important to force yourself into groups of people that are at or beyond
where you are.
And that way, because, I mean, I'm in plenty of situations where I'm in a group and I'm the teacher
and I'm trying to help people get to where we are.
That's different.
But you're talking about something where you are fed as a leader and your loneliness is solved
because you've got a place to offload some of the bull crap that we all go through
when we're choosing to run a business like this.
So that's where it goes from that.
So, hey, that's a cool question.
and it's a very vulnerable and accurate question.
I'm glad you're asking it.
Again, my first choice for you would be joining an advisory group in Entree leadership,
not just because it's something we sell,
but because it does actually answer the need that you have.
If you're working 60 to 70 hours a week just to keep your business running,
you're headed for burnout.
The only way to grow without running on empty
is to stop working in your business and start working on your business.
And that takes advice and accountability,
from people who actually make payroll.
That's why you need to join an advisory group.
You'll get a coach and a circle of business owners like you
who will help you stay focused and grow
without sacrificing your nights and weekends.
Find out if advisory groups are right for you
at entrell leadership.com slash advisory groups.
Or click the link in the show notes
if you're listening on YouTube or podcast.
Guys, if you'll help us out, we would appreciate it
by following the show.
follow button, click the share button, the
subscribe button, share the show,
tell people about the show,
hang out with us guys,
let people know we're here, you're our only
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no chance if you don't help us.
We're going to go down in flames.
I'm kidding. But, I mean,
any growth that we have, and we've had a bunch of it,
is due to you folks helping us out
and leaving the five-star review,
clicking the share button, cutting the link,
and send it to somebody say, hey, listen to this
crazy guy on business, he's actually
helping me out. We appreciate it when you do that. Thank you. John's in Sacramento, California. Hey, John,
what's up? Life is good, Dave. How are you doing? Better than I deserve. How can I help?
So I am the owner-operator of a consulting firm. We have nine full-time employees. We bring in about
$3.8 million a year. We have zero debt and a year's worth of operating expenses in the bank.
Wow.
My question today is, would it be beneficial to start paying our consultants as a percentage of profits
or continue moving on paying them just a nice salary, which we have done forever?
If so, kind of what's the structure of that profit sharing plan?
Well, the good news is you've done so well that you can afford to try something different
without doing huge damage.
And congratulations.
Your financials are amazing.
I grew up in a straight commission household.
Mom and Daddy were in the real estate business.
And I've either owned a business or been straight commission all but three months of my life.
Okay.
So that taints the answer.
That's why I'm telling you that.
Because I would put the freaking receptionist on the straight commission if I could figure out a way, right?
I put everybody on, hey, you eat what you kill.
And so go kill a bunch and get really, really fat.
I mean, come on.
You know, that's, I love that mentality.
I like the incentive around that.
You live that way because if you don't make a profit there running this business,
which is, you know, you don't get to eat.
And so you're on straight commission as the owner of this place.
So I like what that does to people's get up and go.
Some people are more motivated by upside potential than others, money.
They're more money motivated than others.
You might be shocked as to which ones it lights up and which ones it doesn't.
So from an incentive standpoint,
point. I like sharing. I also like sharing because I am very aware that we don't do $300 million
worth of revenue here at Ramsey because of me by myself. I'm very aware I've got a lot of good
help getting there. And so I like just the concept of the, it's one of our core values that we share
the profits and that is that is a way of tipping our hat and saying i didn't do this by myself you
helped you helped get us here and the more you help get us here the more you're going to make and
so um but i i you know i'm i'm not sharing it uh because someone is entitled to it it's my money
but i'm sharing it because a i believe in incentives and b i believe in recognizing that the people
that cause this place to run
are as responsible for the profits as I am.
And so you didn't do it by yourself kind of thing.
So those are my reasons for doing it,
and then you ask about structure and so forth.
The good news about structure is you can just make it up.
I recommend keeping the formula private
because I'm going to change it,
because it's probably not going to work the first time you do it.
Yeah, and that's something I kind of struggle with because to me it seems like they should know their percentage going into the year somewhat.
Nope.
Rather that, no, okay.
No, no.
Because I'm going to change the percentage, and I'm just going to tell them that.
I'm going to start allocating a percentage of our profits to share with you all.
But I'm not going to tell you what the percentage is because I'm probably going to change it.
I may make it more percentage.
I may make it less percentage, depending on how all this works.
I want it to be noticeable and significant enough that it motivates you to help me make more profit.
So it's not going to be $5.
And if it ends up being $5, I got the wrong percentage.
I need to change the percentage.
And this is new to me, so I'm trying it new.
So I'm going to monkey with this as we go along to your benefit.
Because if it's too big, I'll quit doing it.
You don't want me do that.
And if it's too small, you won't notice it.
And I'll quit doing it.
you don't want me to do that.
So I've got to put some numbers in here, and I've got to play with this.
So I would leave everyone's pay exactly as it is and just put this as extra gravy on the biscuit.
I wouldn't cut their pay.
I wouldn't restructure their comp.
Gotcha.
This is just extra money.
This is just you, out of the goodness of your heart, sharing part of your company with them, with the team.
Mm-hmm.
Yeah.
Yeah, I'm hoping it kind of makes them start thinking of thinking like an owner.
somewhat, you know, be thinking about efficiency, how to grow.
Yep. Yep. Yep. You know, where can we get better?
Yep. Here's what we did to do that. We put hours monthly and we pay it out on the 15th of the
month following. And so if you're looking at whatever month, we'll make up a month, August,
okay? If we did really well in August, the payout will be September 15th.
So we get to close the books on August. We know exactly what happened in August. The accounts
receivables are in or they're not in. The accounts payables are all paid. So there's no mystery about it
in terms of me and the CFO looking at it. And then we look at it and we say, okay, based on this,
here's what our profit sharing formula tells us we're going to pay out to the team. And it's this
percentage of profits. And then you come up with a formula on how you're going to pay it to the team.
I'll come to that in a minute. Then we started doing it monthly. And then we also started doing
what you were talking about wisely a moment ago at the staff meeting right before payroll we have a
company-wide staff meeting every Monday and right before the 15th payroll our CFO gets on stage
and puts up a little chart that says okay profits are up 4% over last month
profits are down for the year over last year
profits are, you know, and we give them some measure.
We don't tell them a dollar amount, but we just go, okay, they're up 4%, they're down 4%,
and we also have added two team members to the profit sharing that were not in it.
So that dilutes it.
So you've got an arrow up and arrow up, but you got an arrow down because they diluted it.
Because we had more people in the thing because we've hired more people, and, you know,
they started qualifying.
I think we have to wait a year before 90 days before they get in, something like that.
out here. I forget how we're doing it. 90 days now. Okay, used to be a year. Now we've backed it down to
90 days. That's one of the things we changed. So anyway, we explained to them all of that and then we go,
okay, so really the essence of this is that this department had a good month and this department
had a good month and this department had a good month. And some of the departments that have done really
well, they appreciate those onstage shoutouts that they're the reason we got these profits this
month. And so everybody gets to clap on that. And then he closes it.
every month that says profits happen when revenues go and the whole team says up.
And when expenses go and the whole team says down, that's your reminder that all of you in this
room, boys and girls are self-employed ultimately.
And if you'll help us get revenues up and profits down, these checks are bigger.
It's a simple formula.
And we announce that every single month.
If you've been here 15 years, you have heard that 52 times a year.
for 15 years.
No, no, I'm sorry, 12 times, once a month, 12 times a year for 15 years.
You've heard it over and over and over.
So it's drilled into your head that profits don't just magically appear
from some corporate ferry dust.
Profits happen when you people in this room drive revenues up
and you people in this room do efficiencies and drive revenues down.
Degspenses down.
So you're telling them directionally,
but you're not really giving them any formulations.
and any real specifics.
No, because I'm not trying to get them to know what the profits of the company are,
those are not disclosed here.
Okay.
We disclose our revenues, our top-line revenues,
but we do not disclose our profits to anyone except our top leadership team
and obviously our financial team.
Got it.
Got it, got it.
Because here's the thing.
People can't, they can't get their head around the number of that size.
and how it relates to them.
Too many of them, they struggle with the emotional maturity part of that.
So there's just no point.
That's not the purpose of this.
The purpose of this is not to create a math riddle for the team.
The purpose of this is to say, if we all work together, we make more money,
I'm going to share some of it.
You're going to benefit, not just your pay, but you're also going to get this over here.
So we're a small company.
We don't have stock options.
We're not publicly traded.
And so this is your version of that.
You get some of the money that's mine.
if we all work together and we make more money.
And so everybody gets real happy because some of those checks get substantial.
Now, one last thing, how did we derive the formula?
We've been through several versions and you can do whatever you want.
The beautiful thing about this whole conversation, John, is you can make it up and then you get to change it because nobody knows the formula.
So ours, when we first put it together, I resisted paying out based on how long someone had been here.
because I don't like seniority that if you just hang around breathe air,
that makes you more money, okay?
But then I, over a period of time,
I came to realize that we are so tough on accountability for performance here
that you don't get to stay here 10 years unless you're killing it.
And you're growing and you're getting better, you know?
You're getting better at your craft all the time.
and we don't keep you.
And so we don't have any people sitting around going,
well, I'm entitled just because I've been here 10 years.
None of our 10-year or 20-year people think that way.
They think they're in warrior mode all the time
or they didn't make it at Ramsey that long.
Now, I don't know the culture you're in,
but that's, so we came to realize
that the primary part of our formula that we were okay with,
and I'll tell you how we did it,
was length of service.
So someone that's been here 10 years,
their profit sharing check,
if they're in the exact same job
as someone sitting next to them
that's been here one year,
their profit sharing check is substantially different.
Got it.
Because they've been here.
That makes sense.
I mean, we're working our butt off.
So, yeah, we're very similar.
You're not around in last year, a superstar.
Exactly.
So, now how we did that was,
we pulled names of people
who were going to qualify for the plan
and so I had a picture in my mind, okay?
And I pulled a name up of somebody that had been here 10 years,
and I pulled a name up of somebody been here one year,
and we ran the math formula through that,
the percentage of profits of the company,
and then we applied it to how they were going to be distributed
among the different times they've been here.
And when we looked at it, the gut check, it felt wrong,
like the one-year person was getting almost as much as the 10-year person,
and that felt wrong to us.
And so we changed the math.
And then we ran the formula again.
And then the 10-year person is getting a bigger check
than the one-year enough that you can feel it and see it.
And you go, that rewards someone sticking around here
that's doing great work and is a champion, like you said.
So we ran the numbers and said, how does that feel with some sample cases?
Somebody one year, somebody 10 years, somebody made a lot of money,
somebody didn't make a lot of money.
and we ran, you know, whatever formula you're going to use for distribution of the profits,
we do not distribute them evenly.
It's not simply divided by the number of people in the thing, okay?
It is changed by the amount of time,
and the primary factor mathematically today is how long they've been here,
because that's the one we got that person's picture.
We put it on the screen, and we're like, that's what they get paid,
and this other person's picture is what they're going to get paid out of this chunk of money.
and does that feel right?
And two or three of us are sitting in there leaders
and we went, yeah, finally, that feels right.
Okay, now we got a math formula.
But then if it quits feeling right at some point,
we change the formula again, right?
Because nobody knows the formula,
so nobody's going to get pissed off
or we didn't break a promise.
You promised us 12% of the profits
and now you're only giving us 11.4.
You know, and nobody knows that number
so they can't get all huffy about it.
It's just simply me,
sharing. And so that's a lot, a lot, a lot, a lot on that. But that's, that's, it's a question we get a lot
in entree leadership. And so in the small groups and in the, um, Q&A time. So that's why I kind of went
off on it. Maybe gave you more than you wanted, but I was also thinking about the other folks
listening. A lot of people wanted to do this. So, and I love your question, especially in context of how
well you have done financially. I'm so proud of you. Very cool. You,
Absolutely have killed it, man.
Absolutely incredible.
Very well done.
Folks, remember better a wary warrior than a quivering critic.
This world needs more high-quality leaders.
So take courage and lead.
I'm Dave Ramsey, your host.
Thanks for joining us on Entree Leadership.
