Don't we cover this once a month? I get a very small salary. A Mc'Donalds worfker makes more. But I get a commission also. I make 25% profit off each sale. This comes to be about 7% off the top if I charge my bosses price but I always charge more.
I hope to sell a million a year, that's my goal before I start to manage a store. But I would like to hit 750,000 in total sales sometime here real soon.
that would get me about 52,000 a year which is fine with me so far.
With my wife cranking out 50 a year and up, I should be in pretty good shape.
Draws are usually based on commission. At least around here if someone is pulling draws that means they get a small ammount per week, usually $500. The purpose of the draws are to get them through the winter months when there isn't much to sell.
Usually on the draw system the first few months of the year you are being paid on credit. Your boss is paying you in advance for future sales. About April or May the draws go away and you are now being paid on full commission.
Figuring I'm the owner/boss, my draws are somewhat different. I usually pull 1k a week, depending on the volume of income that week. Sometimes more, sometimes less, but that is my goal. Every once in a while, I give myself a 'safety bonus' too.
Once my bus is up and running I plan to pull out a $500 salary per week. This is enough to pay my bills and stay alive without suffering, but not saving anything. Then I will take a quarterly bonus. I haven't worked out all the details yet with my accountant but there is less taxation to officer bonus that there is to employee paychecks... and totally legal.
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