How Should a Painting Business Pay Key Hires (Admin, PM, Sales)

Send us Fan Mail How should a Painting Business pay its Key Hires? Daniel Honan, CPA, and Cody Hall break down what a $25-an-hour painter really costs, why the admin usually comes first at 2 to 4% of revenue, and how to pay a production manager 4 to 7% of revenue with a two-thirds base and a monthly bonus tied to production, gross profit, and five-star reviews. They cover hunter and farmer salespeople and a commission split that stops discounting, why the $1M to $3M stage is the least profitable as a percentage of revenue, and why a second location usually doubles your overhead. Daniel also explains the vehicle cost check for how far you drive, which receipts the IRS looks at closely, and how a revocable living trust protects your family and your privacy. Know Your Numbers & Save Big in Taxes, Daniel Honan, CPA Every episode is made for painting business owners. Follow the show so the next one downloads automatically. FREE BOOK FOR PAINTING CONTRACTORS Free, just cover shipping. Get your copy here: profitablepaintercpa.com/book WANT DANIEL TO LOOK AT YOUR NUMBERS? Join 529+ painting contractors who know exactly where their money goes, keep more of what they earn, and scale without tax surprises. Book a free Profit Checkup here: profitablepaintercpa.com/vsl Prefer video? Watch this episode on YouTube What We Discuss: 00:00 Why growing a painting business is expensive 03:02 Key hires and the 4 stages of a painting business 03:39 What a $25/hour painter really costs you 04:52 Why the admin usually comes first 07:08 How to pay a production manager 10:53 $65K base + $35K bonus, paid monthly 12:52 Bonusing on gross profit and 5-star reviews 15:36 How to get more Google reviews 17:38 Hunter or farmer: which salesperson you need 20:47 Paying sales without rewarding discounts 22:47 When to open a second location 27:51 How far to drive for jobs: the vehicle cost check 29:56 Company cards, fuel, and internal controls 33:23 Do you need a receipt for everything? 37:00 Succession plans and revocable living trusts 43:49 "Why am I even running this business?" Profitable Painter CPA – accounting and financial strategy for painting contractors. Visit us profitablepaintercpa.com This episode was originally recorded as a video for YouTube. If you hear me say things like “in this video” or reference visuals, don’t worry — the content still works perfectly in audio form. And if you ever want to watch the video version, you can find it on the  Profitable Painter YouTube channel. https://www.youtube.com/@BookkeepingForPainters For being a loyal listener, I want to send you a copy of my new book Profitable Painter. Inside, I’ll show you the exact frameworks that have helped painting businesses save big on taxes, increase profits, and scale with confidence Head over to profitablepaintercpa.com/book and grab your copy today. Don’t wait — this is my gift to you for being part of the Profitable Painter community.