An Introduction:

Family Compass Vision Statement: To thrive as a close and collaborative community of professionals, working together to promote children’s and families’ well-being and support and collaborate with other professionals in the community. 

Having a collaborative team allows us to develop and implement interdisciplinary treatment plans that are custom-tailored to the needs of each child and family. Our work with the broader community of professionals currently includes training the staffs of more than 50 preschools who are members of our Training Alliance, providing talks to local pediatric offices, educating grade school professionals through twice yearly training sessions, and offering doctoral and post-doctoral training in clinical psychology.

Maintaining and improving the quality of our work requires constant tending to implement clinical best practices, facilitate therapists’ professional growth, and maintain relationships with an external community of professionals. To sustain a dynamic and creative organization, imbued with an ethic of continuous quality control and responsiveness to the changing needs of children, families and the community, we need experienced professionals who are passionate about their work, possess an entrepreneurial spirit, and demonstrate an ability and desire to guide and supervise others.

Introducing the role of Service Developers at Family Compass brings us closer to fulfilling our mission by articulating and strengthening leadership roles, expectations and rewards for experienced professionals interested in and committed to developing new services.

Therapists at Family Compass

All therapists at Family Compass provide direct services to families and are paid for their direct work with clients. Full time therapists are expected to average 25 billable hours per week; part time therapists (no less than 60% of a full-time position) work a proportional number of clinical hours. All therapists are required to participate in our weekly staff meetings and contribute to “practice development” activities such as visiting schools, providing supervision, giving talks, writing articles, etc. The expectation is an average of 5 hours a week for practice development time for full time therapists and 3 hours per week for a 60% position (preparation times included). Each month in which therapists meet their billable hours’ requirement they receive a bonus (“base salary bonus”).

A breakdown of a typical week for a full-time therapist includes: (1) Direct Clinical Hours: 25 hours, (2) Related Clinical Work (notes, consulting with colleagues, scheduling etc.): 8.5 hours (3) Practice Development Hours: 5 hours, (4) Staff Meeting: 1.5 hours.

Service Developers at Family Compass

Emerging Developers

All therapists, after they are established at Family Compass and build up their billable hours to the required number, will be offered the opportunity to develop a specialty area that they are passionate about and is relevant to our practice. These clinicians will:

  • Devote some or most of their “practice development” time to develop the necessary knowledge and tools for their area of interest and attend relevant trainings. Family Compass will pay up to $600 per year towards this training.
  • Engage in community outreach to generate client referrals for their specialized service.

Emerging Developers will continue to receive their base salary. The specialized service billable hours they provide will count toward fulfilling the required billable hours for their base salary (25 for full time, 15 for 60% of full time) and towards their “base salary bonus”.

Service Developers

When their expertise is solid enough and there is sufficient demand for new service offerings, such that other therapists can start providing this specialty service, Emerging Developers will be offered to join a leadership group, the Developers’ Forum, as “Service Developers”.

For each service developer, a letter of understanding will outline the specific plans for each clinician and service, with goals, progress review date and its criteria for continuing with the development work.

Participation in the Developers’ Forum entails new / additional responsibilities related to launching and supporting new specialty area of service. Existing responsibilities as therapists and compensation for direct patient work will remain unchanged including the requirement of 5 hours of development work per week (that will go towards the development of the specialty area). However, if the developer, on average devotes up to 7 hours a week for development, the extra two hours a week (beyond the required 5 development hours) will go towards reducing the number of required billable hours for that month and the “base salary bonus” requirement to  23 hours per week (for a full time position).

Developers’ Forum at Family Compass

The “Developers’ Forum,” composed of Service Developers and the practice owner, Dr. Moshe Shtuhl, will meet regularly and provide a sounding board and an opportunity for mutual consultation. Upon joining the Developers Forum one of the first tasks will be to coordinate with Forum and the director which therapist (in addition to the Service Developer—i.e., the “other therapist”) will provide the new specialty service. It may either be another existing Family Compass therapist, or there may be a need to hire a new therapist. Initially, only a few additional hours a week from the “other therapist” may be needed for new services and over time, as the service expands, possibly more.

Outreach efforts to generate referrals will be initiated and carried out by the Service Developer utilizing Family Compass’ established outside networks of referral sources, as well as cross referrals within the practice. All expenses, as approved by Moshe Shtuhl, including administrative support, will be covered by Family Compass.  The Service Developer will supervise the work of the “other therapist(s)” working in their specialty area, as appropriate. The expectation is that participants in the Developers’ Forum will devote 4-5 hours (or more) a week to develop their service but will also, as a core value, provide support to their colleagues and the practice as a whole.

Bonus:

Service Developers will be eligible to receive a “Developers’ bonus” annually for the “profit” generated by the work of the “other therapist(s)” providing the specialized service (please note, “Developers’ bonus” is separate and in addition to the “base salary bonus” described earlier). The direct billable hours of the Service Developers themselves will not count towards their Developers bonus, but rather count towards fulfilling the requirement for their base salary and “base salary bonus”. This is an “upside only” opportunity for the Service Developers, as possible losses will be covered by the practice.

Also, the “developer” will not risk losing their base income, as their own direct billable work calculation and their base salary is separate from the Developer’s bonus calculation. Therefore, as long as they fulfill their existing obligations as therapists they will continue to be paid their base salary and base salary bonus for their direct billable hours.

However, if a specialty area is unprofitable in a given year, the negative balance will be transferred to (and subtracted from) the next year’s bonus calculation.

The bonus will be calculated as follows (see two examples below each step):

First: calculation of the “specialty area’s profit”:

  1. The total annual revenue received for the specialized service hours provided by the “other therapist” working under the service developer’s supervision is determined. (Note: the developer’s own direct services are excluded from this calculation).

    Example #1: The specialized service’s “other therapist” generated annual revenue of $100,000 (which roughly equates to an average of 12 sessions per week, taking into consideration vacations and holidays).

    Example #2: The specialized service’s “other therapist” generated annual revenue of $200,000  (which roughly equates to an average of 24 sessions a week, taking into consideration vacations and holidays).

  1. From this annual revenue, a portion of overhead expenses will be deducted. The overhead calculation will be based on Family Compass’ overall overhead expense that year (office space, administrative support, office expenses, etc.) divided by the practice’s total gross revenue).For 2016, for example, the ratio is 22%.

    Example #1 (continued): from the $100,000 annual revenue associated with the new service offering, 22%, or $22,000, will be deducted for overhead expenses, leaving $78,000 remaining.

    Example #2 (continued): from the $200,000 annual revenue, 22%, or $44,000, will be deducted for overhead expenses, leaving $156,000 remaining.

  1. Next, the specialized service “other therapist’s” total compensation for the specialized service will be deducted, with the remainder deemed the service’s net profit.

    Example #1 (continued): Assume the “other therapist” spends 12 hours per week providing the specialized service, and their total compensation expense for these hours is $38,000 (assuming the therapist’s full time compensation is $76,000). This amount will be deducted from the $78,000, so the net profit (i.e., profit after deducting overhead and “other therapist” expenses) of this service is $40,000.

    Example #2 (continued): Assume the “other therapist” spends 24 hours a week providing the specialized service, and their total compensation expense for these hours is $76,000. This amount will be deducted from the $156,000, so the net profit (i.e., profit after deducting overhead and “other therapist” expenses) of this service is $80,000.

 Second: Calculation of the bonus:

  1. For a profit of up to $10,000—The bonus will be 30% of the profit
  2. For a profit $10,000 to $50,000—The bonus will be 40% of the profit
  3. For any profit above $50,000—the bonus will be 50% of the profit

    Example #1 (continued): Since the profit in this example is $40,000, the total bonus compensation will be $16,000 ($40,000 x 0.4 = $16,000).

    Example #2 (continued): Since the profit in this example is $80,000, the total bonus compensation will be $40,000 ($80,000 x 0.5 = $40,000).

SD Bonus = [TR – (OxTR + C)] x PS%

  • SD: Service Developer
  • TR: Total Revenue received for the specialized service
  • O: Family Compass overhead expense ratio (~22% for 2016)
  • C: “Other Therapist’s” proportional compensation for the specialized service
  • Profit: TR – (OxTR + C)
  • PS%: profit sharing percentage
    • 30% for profit < $10,000
    • 40% for profit of $10,000 – $50,000
    • 50% for profit > $50,000