Why Aren’t You Getting Paid? 

Let’s be real—if your crew is paid, your suppliers are paid, but you’re not, there’s a problem. Too many construction business owners live off what’s left, and some months… there’s nothing left.

That ends here.

When you pay yourself first, you prioritize your construction business’s most valuable asset—you.

Why Paying Yourself First Matters in Construction Bookkeeping

1. It’s a signal of financial health. If your construction business can’t afford to pay you, it's time to fix your pricing, job costing, or overhead—not sacrifice your income. Construction bookkeeping isn’t just about tracking revenue—it’s about ensuring your business is profitable enough to support the owner. Your paycheck is a reflection of the financial systems you have in place.

2. It protects your family and personal future. You shouldn’t depend on a big job payout to cover the mortgage. As a construction business owner, you deserve a consistent income that supports your lifestyle and long-term goals. By establishing a regular owner's draw or salary, you're creating a more predictable cash flow plan—a cornerstone of effective construction bookkeeping.

3. It forces better budgeting. When you pay yourself first, you’re forced to run the business on what remains. This encourages:

• Smarter job costing

• More accurate overhead allocation

• Realistic pricing that reflects profit goals

How to Start Paying Yourself First 

1. Decide on a Sustainable Owner’s Draw or Salary. Use your average monthly revenue and expenses to set an amount you can pay yourself consistently.

💡 Pro Tip: Use past financial reports and job costing data to estimate a pay structure that aligns with your business cash flow.

2. Automate Transfers

Set up automated weekly or bi-weekly transfers from your business account to your personal account. This builds financial discipline and makes sure you’re not skipped.

💡 Use Construction Bookkeeping Tools: Use accounting software like QuickBooks or Xero to schedule and track payments.

3. Reevaluate Quarterly

As your construction company grows, revisit your pay every quarter. Review your:

• Revenue growth

• Overhead changes

• Profit margins

📌 Make sure your compensation reflects your business’s success.

Common Roadblocks (and How to Fix Them)

1. "I Don’t Have Enough Left After Paying Everyone Else"

This is a pricing and budgeting issue, not a reason to skip paying yourself. Revisit your:

• Markup vs. margin calculations
• Labor burden accuracy
• Indirect cost allocations

2. "My Cash Flow is Too Tight"

Cash flow management is a core part of construction bookkeeping. Use tools like:

• Cash flow forecasting (weekly and monthly)
• Dedicated tax, payroll, and reserve accounts
• The Construction Cash Control method (check out our guide!)