Profit Ain’t Just What’s Left Over: How to Actually Pay Yourself Without Starving Your Business
- Jorge Ocasio
- Jul 27
- 4 min read
Or like I would prefer to say it, Why You’re Not Broke—You’re Just Running Your Business Like It’s a Charity (and You're the Only Donor). Let’s get something straight right now, Revenue ≠ Profit instead it is more like Profit ≠ “Whatever’s left after vibes and Venmo." YOU deserve to get paid—not “one day,” not “when we scale,” but now.
"Let’s get something straight right now, Revenue ≠ Profit instead it is more like Profit ≠ “Whatever’s left after vibes and Venmo."
Running a business without paying yourself is like cooking a full-course meal for everyone else… and then licking the spoon while they eat your dream on fine china. You are the chef, the dishwasher, AND the grocery shopper—you better get a plate!
So let’s talk about it. The real deal behind profit, how to pay yourself (without robbing your future), and how to finally stop feeling like a broke boss with rich potential.
What Is Actually Profit?
You ever look at your Stripe account, see $5,000 come in, and think, “Whew! I’m rich, baby!”...then 12 days later you’re like, “Why am I eating cereal for dinner again?” That’s because you’re looking at revenue, not profit.
Let’s break it down in plain language:
What You See, What It Actually Is
Revenue: All the money coming in
Expenses: Rent, tools, payroll, bills, your Shopify addiction
Profit: What's left after all that mess
But wait—there’s more! Owner’s pay is NOT the same as profit. If you’re not intentionally setting aside your paycheck from the jump, what you’re doing is called “hoping for leftovers.” That ain’t a plan—that’s a gamble.
Example: Two entrepreneurs, same revenue—very different outcomes. Let’s meet Jasmine and Marcus.
Jasmine: Organized Queen Energy
Monthly Revenue: $10,000
Expenses: $4,000
Pays herself: $3,000 (on the 1st of every month)
Puts aside $1,500 for taxes
Leaves $1,500 as profit buffer/emergency fund
Jasmine can, breathe, pay her rent and her business bills, take a weekend off without spiraling into a budget black hole.
Marcus: Hustling, But Holding On by a Thread
Monthly Revenue: $10,000
Expenses: $5,500
No set paycheck—just “grabs what’s left”
Has no idea where half the money went (because Uber Eats doesn’t issue profit reports)
Starts every month from zero
Guess who’s stressed? Guess who’s close to burnout? Guess who’s Googling “How to become a forest ranger with no experience”? If you have not gotten where I am going with this, let's speak clearly and loudly for those in the back. Don’t be Marcus.
Best Practices to Paying Yourself Without Bankrupting Your Business
Treat Yourself Like an Employee:
Your business is your baby, cool. But babies are expensive and don’t pay you back. You? You work. You deserve a check. Set up owner’s compensation the same way you’d pay an employee. Choose a consistent amount (even if it’s small to start). Set a date (1st and 15th, once a month, whatever fits your cash flow). Make it automatic (transfer it from your biz account to your personal like you’re sending it to Rihanna—Bi%&h betta have my money!).
Boss Pro Tip: Even $500/month is better than $0. Build the habit now. Increase later.
Use the 50/30/20 Rule (Business Edition):
Let’s remix the classic budgeting formula for small business vibes. Bucket/Percentage/What It Covers
50% Operating Expenses (rent, software, ads)
30% Owner's Pay (that’s you, boo!)
20% Taxes + Profit Savings (for future you and Uncle Sam)
Example:
If you make $6,000/month
$3,000 goes to business costs
$1,800 to you
$1,200 to profit and tax holding
Now you’ve got a system. Systems keep you paid AND stable.
Set Up Multiple Bank Accounts Like a Boss:
Do you know what happens when all your money is in one big, messy account? You spend it like it’s all yours... until your software renews, your card declines, and now you're on a payment plan with Adobe like it's student loans.
Fix that with money buckets:
Operating Expenses Account
Owner’s Pay Account
Taxes Account
Profit/Emergency Savings Account
You’ll instantly know what money is actually spendable—no more accidental overdrafts or “Wait, didn’t we have $4,000 last week?” energy.
Price Yourself Into the Equation:
If your prices only cover your expenses and not your paycheck, your business is working against you. Let me say it louder for the folks writing invoices in Canva, your pricing needs to include your salary:
Selling a service for $500?
Cost to deliver: $200
Time investment: 4 hours
Your ideal hourly rate: $75
Add profit margin: +$50
New price: $550–600 minimum
Don’t be afraid to raise prices to pay yourself. If people value your work, they’ll pay what it’s worth. If they don’t, they’re not your ideal clients—they’re just discount chasers who’ll ghost you at the first sign of growth.
What Happens When You Do Pay Yourself Properly?
Besides looking good in your budget app? Everything gets better, you’re not resenting your business, you can take breaks without guilt, your creativity returns because you’re not operating from financial survival mode, you can invest in actual growth—a coach, better branding, or therapy (because… entrepreneurship).
Wait, But What If My Business Isn’t Making Enough Yet?
No shame. We’ve all had those “Do I invoice this client or rob a bank?” months.
If you’re in startup or rebuild mode:
Start with a symbolic payment—even $100/month. It builds the habit.
Pay yourself in non-cash perks (use the biz to pay for co-working, tools, or professional development).
Set a profit milestone: “When we hit $5k/month revenue for 3 months, I’ll start paying myself $500.” Stick to it.
Your paycheck will grow as you grow. But start now. Show the universe (and your subconscious) that you expect to get paid.
Don't forget, you’re not a volunteer. you’re a visionary. Listen, you didn’t quit your 9–5, start this business, and survive anxiety, inflation, and imposter syndrome just to not pay yourself without starving your business. You're not here to be cute and broke, you’re here to be paid and powerful. So create your system and claim your pay. Stop treating your income like leftovers—and start serving yourself the main course. Because boss, you deserve more than just scraps. You built this. Now it’s time to eat and as always sending positive vibes your way.
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