How to fix burnout
April 6, 2022

The dream of running your own business began with certain expectations and desires, including making more money and finding more satisfaction in your work. But, sometimes, it may feel that neither of those things is true.

Let’s take stock and see how you may have gotten sidetracked and map out a strategy to get you back in the driver’s seat.

For many small business owners, the feeling that things aren’t going as they envisioned often begins with recognizing they’re underpaying themselves. Some studies have reported that only half of entrepreneurs even pay themselves a salary. Instead, they take an “owner’s draw,” when they feel there’s enough on the balance sheet to do so.

By not creating a regular paycheck for yourself, you can start to feel burned out, as you work harder than you may ever have, but don’t seem to have nearly enough to show for it, small business owners frequently report.

Rather than an “owner’s draw,” you may want to consider designating “owner’s pay,” from funds that are frequently available in your businesses account if you look in the right place and in the right way.

If you’re leaving money in a business account where it’s not really doing your enterprise any good, you might be better served to earmark a portion of it for your salary. You’ll be feeling more valued and more enthusiastic about the business you care about, and, by extension, you’ll actually be giving your business a shot in the arm.

This may sound “easier said than done,” but here are a few points to keep in mind:

1.     Map out your regular expenses – see just where you’re making and losing money so you can stabilize your business finances.

2.     Create your own system for dividing your income as revenue comes in – when you accomplish this, you’ll feel more confident about drawing a regular salary.

3.     Remember to take time to enjoy your business. It was your dream, enjoy it- and reward yourself for all of your hard work.

If you need help determining a salary for yourself that is both appropriate and affordable for your business, please reach out to one of our accounting advisors for assistance. We will be happy to help you come up with a plan.


Recent Posts

Tax Relief Options for Small Business Owners

Tax Relief Options for Small Business Owners

Taxes are always a challenge and can be a bit overwhelming this time of year as filing deadlines approach in the next few months. Even the savviest and most nimble business owners may have a hard time keeping track of all the changes happening to the tax code for 2022...

Tax Advisors – Worth the Cost?

Tax Advisors – Worth the Cost?

As you manage and grow your business it is important to make sure that you are spending money on services that provide a benefit in line with their cost. Decisions that you make can have a significant effect on your taxes and your overall profitability. For many of...

Understanding Your Net Worth & Planning For Your Retirement

Understanding Your Net Worth & Planning For Your Retirement

Proper financial planning involves more than living within your means, setting up an emergency fund, and saving for the future. These are great first steps toward financial freedom and security, but as you build your portfolio you will find additional considerations that need to be made.


Reach out for a consultation.

10 + 4 =

Diamond & Associates CPAs