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Please note: This is a companion version & not the original book. Book Preview: #1 You must pay yourself a market-based wage in order to have accurate financials. And as long as you don’t pay yourself a market-based wage, your financial data is worthless. You can’t just plug some number into the owner’s salary section of your business plan and assume it’s reasonable. If you’re not willing to pay yourself a reasonable salary, then you don’t own a business-you own an idea. And if you don’t own a business, you probably aren’t an entrepreneur. -> The owner’s salary is a key building block for your business. It is important to understand that you are paid a salary for what you do, and you get a return on what you own. As long as you don’t pay yourself a market-based wage, your financial data is worthless. #2 If your company is an S corporation, it’s a bad plan to pay low wages to avoid payroll taxes. The IRS will look for this when they audit your tax return. #3 The owner’s salary is a key building block for your business. You must determine your market-based wage before you plug it into your financials. #4 You must pay yourself a market-based wage in order to have accurate financials. And as long as you don’t pay yourself a market-based wage, your financial data is worthless.
