Working for yourself as an entrepreneur is rewarding and fun but the ultimate goal of any for-profit business owner is to earn income from their business. When your business is ready, here are five tips on how to draw an entrepreneur’s paycheck.


 

First, make sure your business is financially able to pay you.

 
If you aren’t consistently showing a profit and have some cash reserves in the business, don’t start withdrawing money yet. You’ll only hurt growth and potentially put the business at risk. In this situation, you need to live off of another income source or savings until the business becomes reliably profitable.
 

 

Second, determine whether you take a regular salary or an owner’s withdrawal.

 
The former gives you a set paycheck much like an employee would receive, and the latter pays you from the company’s proceeds. Which method is required or preferred depends on multiple factors beginning with the entity type.
 

 

Third, figure out what a reasonable salary would be if you hired an employee to do the operational work you currently do.

 
If you do need to pay yourself a salary, job postings at other businesses and online salary reporting websites are helpful for this. The numbers you see will prove an estimated range for your salary.
 

 

Fourth, consult a certified public accountant to review the tax implications of withdrawing a paycheck.

 
Speak with a CPA before you begin, so you can take advantage of any tax-savings opportunities they identify.
 

 

Finally, actually start taking the paycheck and enjoy it.

 
You’ve worked hard to reach this point, and it’s time to enjoy the fruits of your labor.
 
To speak with a CPA about your business situation and taking a paycheck, feel free to talk with us at Brock CPA.
 
Best of luck on earning a paycheck,
The Team at Brock CPA

 

FOR IMMEDIATE RELEASE

 

Contact: Kelly White, (904) 232-3001 or (904) 616-8754, kelly.white@cfmedia.net

 

Local accountant strikes out on his own as Brock CPA

 

Jacksonville, Fla., Dec. 13, 2016 – After a decade of working with a large local firm in Jacksonville, Daniel Brock, a third-generation CPA, has decided to strike out on his own and has opened Brock CPA.

 

“Brock CPA is perfectly situated to help individuals and locally owned businesses with all of their accounting needs,” said Daniel Brock. “I want to be known as the CPA with the personal touch; one who will listen to your needs, and who will actively look ahead while developing a strategy that will help you make decisions that will be beneficial to your future.”

 

Brock said his firm’s number one priority is client service, embracing the role of advocate and guide while working on behalf of his clients. The services Brock CPA offers include tax return preparation, tax planning, bookkeeping assistance, financial statement preparation and business consulting services.

 

Brock grew up in Jacksonville and graduated from Bishop Kenny High School. He earned his bachelor’s degree in accounting from the University of Florida and his master’s degree in accounting from Boston College. While getting his master’s degree, Brock worked in the Tax Department at Tofias, PC in Boston, then a regional accounting, tax and consulting firm in New England. The past decade has been spent serving local businesses and individuals with The LBA Group here in Jacksonville.

 

Brock is a member of the Rotary Club of Deerwood and is a resident of San Marco where he lives with his two young sons and their dog, Phoebe.

 

Brock CPA can be reached at (904) 330-0268.

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