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Market rate salary for business owner(s) roles(s)
Market rate salary for business owner(s) roles(s)

Market rate salary for business owner(s) roles(s)

Matt Fox avatar
Written by Matt Fox
Updated over a week ago

Often in a small business the business owner, or owners, take on more than one role, whether that's sales, marketing, or operations etc. It's common too for business owners to not pay themselves, regardless of the structure (salary plus dividends etc) the market rate for the work they do.

For the Business Return calculation in Clarity to be as accurate as possible we ask you to enter the market rate salary for the roles the business owners complete if the business owners aren't paid a market rate salary from the business.

If the business owners are paid market rate then you can enter 0.00 in Clarity.

If not, then here are some salaries to give you an idea of what to enter:

Strategic roles e.g. marketing director, sales director, operations director etc = £60,000 / US$90,000 pa

Management roles: e.g. marketing manager, sales manager, operations manager = £40,000 / US$60,000 pa

Front line roles: e.g. customer service, sales person, marketing person, delivery of product/service = £25,000 / US$35,000 pa

If a business owner is completing more than one role then you may want to pro rata the salary based on an approximate time spent in each role and then adding those salaries together.

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