Part of the free 14-week financial series for small store owners. See all lessons →
This lesson publishes soon. Here's the framework it will cover.
The two ways this usually goes wrong
Some owners pay themselves last, whatever's left after everything else, which often means barely anything. Others draw a fixed amount regardless of how the month actually went, which can quietly outpace what the business can support. Both create real problems, just in opposite directions.
What a sustainable draw looks like
Tied to actual profit, not a fixed number picked once. A draw that flexes with performance protects the business in a slow month.
Reviewed regularly, not set once and forgotten. What was sustainable a year ago may not be sustainable today.
Separate from a false sense of what's "left over." Owner pay deserves the same planning as rent or payroll, not whatever happens to remain.
The CPA read
If owner pay hasn't been reviewed against current profit in a while, that's worth checking regardless of which direction the number needs to move.
Know if your draw is sustainable
Clarity by Margini flags when owner pay is running ahead of what current profit actually supports.
For educational purposes only. This lesson provides general guidance, not financial, tax, or investment advice. Always consult a qualified professional for your specific situation.