You run everything: You fix the messes, you talk to every client, you handle the bills \u2014 and still can go home wondering if you\u2019re going to get paid this month.<\/p>\n\n\n\n
This is how most small business owners live. Doesn\u2019t matter what you make \u2014 if you don\u2019t have a way to pay yourself, it all can feel like a never-ending chore.<\/p>\n\n\n\n
So, let\u2019s get you a system. Not a big one, just one with enough structure so you stop skipping your needs<\/a>.<\/p>\n\n\n\n Stop waiting for the leftovers at the end of the month. If your pay depends on totally smooth operations and sales each month, it puts you and your personal goals at risk. <\/p>\n\n\n\n So start simple: Pick a number. Make it a regular amount, and one that won\u2019t give you an even bigger headache when you\u2019re working through your finances later. <\/p>\n\n\n\n To that end, it helps if you get paid just like any other employees you may have. When paying taxes<\/a> on your income, it\u2019s a good idea to figure out the most financially efficient way to pay yourself. The IRS<\/a> has excellent resources that cover topics like defining employees<\/a>, small business expense resources<\/a> and how to report payments to independent contractors<\/a>.<\/p>\n\n\n\n Does all your money drop into one account, and disappears before you can figure out what\u2019s yours? You\u2019re not alone. But the best way to pay yourself is to get your books in order. A simple approach is to break it into three:<\/p>\n\n\n\n Move the money the day it hits, or make those transfers automatic. You\u2019ll be grateful you set yourself up for success later!<\/p>\n\n\n\n Not the week after. Not once a month. Every time you pay yourself \u2014 and if you\u2019re not already deducting taxes already \u2014 take 20% of that total and stash it away for Uncle Sam. Leaving your quarterly taxes<\/a> up to chance can become an expensive issue later.\u00a0<\/p>\n\n\n\n Your software probably costs more now than it did two years ago, and you\u2019ve certainly had to replace equipment in that time, too. But your rates haven\u2019t changed in two years \u2014 so if you\u2019re wondering where profits have gone, revisiting your operating costs is a good place to start. To remedy, review your operating expenses every three months, and build in gradual price increases to keep your margins consistent (and your pay certain). <\/p>\n\n\n\n Let\u2019s say that you\u2019ll start paying yourself on the 10th, but your rent\u2019s due on the 3rd. Now you\u2019re transferring money back and forth, paying late or feeling stressed<\/a> before the month even starts.<\/p>\n\n\n\n But there\u2019s a simple hack to fixing this problem: Move your bills. Many utility companies and financial institutions offer pick-your-own pay dates, making it easy to align your paydays with the days your bills are due. <\/p>\n\n\n\n If you have burdensome credit card bills or expensive personal loan payments to juggle while growing your business, Accredited Debt Relief may be able to offer you some breathing room. Our debt consolidation<\/a> program can save you 40% or more on eligible monthly payments, and even help you get debt-free in as little as 24-48 months.\u00a0<\/p>\n\n\nStart with a schedule<\/h2>\n\n\n\n
Use Dedicated Accounts<\/h2>\n\n\n\n
\n
Pull your tax money the second you get paid<\/h2>\n\n\n\n
Check your pricing before it burns you<\/h2>\n\n\n\n
Line up your bills with your pay schedule<\/h2>\n\n\n\n
Give yourself extra flexibility<\/h2>\n\n\n\n