Profit First Calculator
What Is Profit First?
Most business owners were taught to follow a simple equation:
Sales – Expenses = Profit
The problem? Expenses have a way of expanding to consume whatever is left. As revenue grows, so do costs, leaving many business owners working harder without building meaningful wealth.
The Profit First® methodology, created by entrepreneur and author Mike Michalowicz, flips that equation on its head:
Sales – Profit = Expenses
Instead of hoping there's money left over at the end of the month, Profit First encourages business owners to intentionally allocate every dollar of incoming revenue into specific accounts with a purpose.
How Does Profit First Work?
The goal isn't to make accounting more complicated—it's to create a simple behavioral system that helps business owners make better financial decisions every time revenue comes in.
Try the Profit First Calculator
Curious what Profit First might look like for your business?
Use the interactive Profit First Calculator below to instantly model how your annual revenue could be allocated across Profit, Owner's Pay, Taxes, and Operating Expenses using recommended target percentages.
Adjust your revenue, explore different business size ranges, and see how even small allocation changes can significantly impact your long-term financial health.
Whether you're just learning the methodology or already implementing Profit First, this calculator is a practical way to visualize how your business can begin working for you—not just because of you.
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