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Free calculator for courier owners

How much can a courier business owner pay themselves?

A courier owner works with weekly costs and slow payers. What you can take depends on profit after fuel and repairs, and on how much cash sits with clients.

Steady monthly pay
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80% of average profit
Extra draw you could take now
-
cash above what the business must keep
Cash the business must keep
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2 payrolls + 1 month of bills + big payments

The starting numbers are an example for a courier business. Replace them with yours.

Three rules for paying yourself from a courier business

  1. Base steady pay on average profit after fuel and repairs.
  2. Keep a vehicle reserve before any extra draw.
  3. Personal taxes come out of what you take. Ask your accountant how much to set aside.

What changes the answer for a courier business

Vans wear out on a schedule nobody controls. A courier owner who takes every good month's cash ends up financing a new van at the worst time. Hold a vehicle reserve first.

The worked example

In the example, the business keeps $57,000. That covers $32,000 for two payrolls, $11,000 of monthly bills and $14,000 due soon. Steady pay comes to $7,200 a month. Anything above $57,000 in the bank is spare.

A common question

How much should a courier business set aside for vehicles?

Enough to cover the next major repair or a down payment without missing payroll. The age of your fleet tells you roughly when.

Know what is safe to take, every week

One Page CFO shows the cash above your safe line every Monday, from your QuickBooks, checked by a CFO.

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