Paying yourself a salary when you are a solopreneur may sound a bit far fetched. You might be thinking to yourself, “I’m not making that much yet” or “that I can take out money from my bank account whenever I want, why complicate it? It simply may be a bit too daunting and complicated to even want to take the time to hash it out. That is, until now, my friends.
I want to share with you what I wish I had learned when I first started my online business. Not only is this strategy simple and takes very little time once it is set up, it clears money blocks that you may not even realize that you have.
We have all heard of the oxygen mask metaphor, right? You know, the one where you put your mask on in an emergency before you help others. I know that we all scramble to pay our bills. You know, Mailchimp or ConvertKit, Acuity Scheduling and Leadpages. But have you ever asked yourself, why you are putting them ahead of paying yourself?
You own your business. You should get paid just like everyone else.
When I first started my coaching business, I had a good handle on my personal finances with a budget. What I didn’t know how to do was account for my money made from my first clients. I knew that I should have a business bank account and keep everything separate. I had worked in accounting, finance and budgeting for long enough to know that was a given. That said, I still remember cringing when I gave my personal bank details to my first client for her to send me an ACH transfer. I remember putting that money into a line on my budget that was off limits. I didn’t know how much to set aside for taxes, for business expenses, let alone pay. I really had no idea how best to move forward with keeping everything straight.
Fast forward a couple of years and I have thankfully found a system that works really well for me. I now am excited when I get paid because I just pop the number in my little calculator and I know exactly how much to allocate to taxes, pay (yes, my salary!), biz expenses and profit.
Say what? I allocate money for profit? You betcha.
If you are reading this and thinking to yourself, “YES, I NEED THIS!” You are my kind of gal and you are in luck. I am getting ready to open the doors of a new round of my signature group program Profit On Purpose. This is exclusively designed for online business owners sort out their money once and for all.
Sign up below to get my free business tracker and you will be added to my VIP Wait List and be first to know when my doors officially open.
Know that this is for you and want to chat about your specific situation? Let’s schedule a 10 minute call and I will share exactly how to organize your biz income.
Receipts in a shoebox, be gone!
Enter your details to download my super simple biz expense tracker. No excel experience required. 😉