ep 46 Compensation - The ins and outs of building a successful compensation strategy for your business
Release Date: 12/26/2025
CEO Bros - After Hours
Brad runs full throttle intentionally. He knows if he operates at 100%, his leadership captures 70%. Their teams? 50%. Front line? 30%. That's why he inspects what he expects. If you don't verify, your message dies three levels down. Brian sees it differently. Rock hits a pond, ripples weaken. His brand message starts at 100%, hits 50% by sales. This is episode 50. The degradation principle. *YOU'LL DISCOVER* • Brad's degradation theory: running at 70% means your team runs at 30% • How brand messages lose 50% power by the time they reach customers • The "inspect what you expect"...
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Brian was bringing on new customers when he ran out of money. Brad knows entrepreneurs who bought boats while their businesses were still bleeding cash. One of Brian's investors would ask him the same two questions every time they met: "How's your wife and what are you driving?" One question's about divorce. The other's about expensive cars that kill businesses before they get off the ground. Your baseline shifts without you even noticing. You start buying things and suddenly your expectations are different. Brad calls it lifestyle creep. This is episode 49. What entrepreneurs get wrong about...
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Brad asks for exactly 15 minutes. At 14 minutes and 59 seconds, he stands up and leaves. Doesn't matter if they're interested or want him to stay. He asked for 15 minutes, that's what he takes. Most salespeople overstay. Brad walks out while they're still engaged. Next meeting, they already know he respects time. No bracing for a pitch that won't end. This is episode 50. How to actually close deals instead of just talking about closing. *YOU'LL DISCOVER* • Brad's 15-minute rule: leaving on the number gets more second meetings • VHT Studios closed 10,000 units in Jacksonville, Orlando said...
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Looking for mentorship but keep finding people who don't actually help? Brian never joined a formal program. He asked questions at lunch. David Robin had just sold Chicago's biggest real estate firm and was stuck in a non-compete. He couldn't work but could advise. Brian kept asking. Robin kept answering. Decades later, they still meet. Brad built his company by admitting "I don't know" while other CEOs fake it. His wise man was Brian, who helped him build everything (but won't accept credit.) This is episode 46. How to find your wise man when programs and LinkedIn don't work. *YOU'LL...
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Two CEO brothers. One podcast. Zero filters. 45+ episodes of business stories, lessons, disasters and triumphs you need to hear. Mark Cuban email wars at 2am. Climbing forklifts to reach your girlfriend's window. National hotel chains spending $80K on pool diarrhea warning signs. See some of the more memorable moments when the guys discuss and debate the ups, downs and just plain craziness of business from the perspective only two brothers, each with 35+ years of running different businesses, could share. This is CEO Bros - after hours. The year in review. The moments that made this...
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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,...
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Brian's Monday ritual for years: write 100 letters by hand, stuff 100 envelopes, stick on 100 stamps, drop them at the post office. Every single week. Not emails. Not LinkedIn messages. Physical letters that landed on decision-makers' desks when everything else got filtered by assistants or spam folders. Most founders won't do this. It's tedious. It's analog. It feels outdated. But Brian's pipeline never ran dry because he did the work nobody else wanted to do. Meanwhile Brad's watching restaurants with incredible food go under in six months because they perfected their menu but nobody knows...
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Brad refuses to outsource billing even when people ask. When healthcare got hacked, competitors with outsourced teams went bankrupt. Brad walked down the hallway, his team solved it. Brian built VHT by outsourcing everything that wasn't core. He could shut down when season ended. Variable costs kept him alive. Then he got acquired by engineers who refused to outsource anything. Speed died. This is episode 44. Two brothers, opposite strategies, both made money. *YOU'LL DISCOVER* • Why Brad will never outsource billing after the healthcare hack • Brian's survival strategy: turn...
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You’re One Decision Away From Becoming a Better Leader Every entrepreneur eventually faces one question that defines their entire company: 👉 Do you surround yourself with highly experienced leaders… or do you develop raw talent into the leaders you want? In this episode of CEO Bros After Hours, two seasoned CEOs break down their completely opposite approaches — and the lessons may surprise you. Brian Balduf, co-founder of VHT Studios, believes in hiring proven leaders with deep experience who can move fast, deliver results immediately, and hit the ground running. Brad Balduf, CEO of...
info_outlineBrad'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.
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#Entrepreneurship #Payroll #CompensationStrategy #BusinessFinance #EmployeeManagement
Music: "Back to Black" by Rockin' For Decades (licensed through Epidemic Sound)