The Raise Reset: Are You Rewarding Tenure or Trajectory?

About this episode

This episode discusses the importance of aligning raises with increased value rather than tenure during practice transitions.

What happens when a new doctor buys a practice… but the team expects the same automatic raises they've received for the last 20 years? Excitement meets resistance. Vision meets comfort. And compensation conversations get awkward fast. In this episode of Dental Drill Bits, Dana and Sandy unpack the tension between loyalty and leadership — and why raises must be tied to increased value, not just time served. This conversation isn't about dismissing long-term employees. Stability matters. Commitment matters. Institutional knowledge matters. But alignment matters more. You'll learn how to: • Reset compensation expectations during a practice transition • Communicate clearly about raises before review season hits • Understand the difference between a raise and a bonus • Use staff overhead percentages to create a sustainable quarterly bonus model • Identify whether you're rewarding trajectory or tenure • Lead growth without funding stagnation Sandy walks through a practical bonus structure based on collections — not production — using a benchmark staff overhead percentage (typically 25–27%). When overhead comes in under target, the margin becomes a shared team reward. Transparent…

People in this episode

Hosts: Dana, Sandy

Topics covered

• compensation
• employee loyalty
• practice transition
• value-based raises

Keywords

• raises
• bonuses
• staff overhead
• team reward
• communication

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