The bonus pool sized for the optimistic case
The plan promised $1.2M in bonuses if the company hit target. It hit 80% of plan. Nobody had budgeted for the 80% case.
Angle
Planning
3 posts
The Tax Line Your Model Left at Zero
The books closed and the company owed $212,000 in taxes nobody had modeled. Franchise and sales tax come due whether or not you're profitable.
The headcount plan priced at last year's salaries
The plan called for fifteen hires. The comp math came off last summer's bands. By the time offers went out, the market had moved and nobody had told the board.