Personal Finance

FAMILY BUSINESS AND PERSONAL FINANCE TROUBLES

  • Last Updated:
  • Feb 12th, 2018 8:16 pm
[OP]
Jr. Member
Mar 17, 2015
124 posts
20 upvotes
North York, ON

FAMILY BUSINESS AND PERSONAL FINANCE TROUBLES

Hello Everyone

I am a 24 year old (soon turn 25) and currently into my family business. My dad pays me roughly $1000/per month but it isn't sufficient. We have a small business which we started in November 2016 and things are picking up well and I have been getting few inquires lately for the business. However my salary doesn't cover my expenses so what should I do ?

1. Ask my father to set up a compensation/profit sharing plan at year end ?

2. Look for side jobs which will pay me around extra $500 per month ? or just leave his business and start working somewhere else ?

Any advice would be greatly appreciated and thanks in advance!
19 replies
Deal Addict
Aug 19, 2016
1903 posts
747 upvotes
Quit and go elsewhere.
But offer to help out for free on weekends.
[OP]
Jr. Member
Mar 17, 2015
124 posts
20 upvotes
North York, ON
CollegeGraduate wrote:
Feb 9th, 2018 4:56 pm
Quit and go elsewhere.
But offer to help out for free on weekends.
We are only open on Monday-Fridays
Deal Addict
Dec 3, 2006
1736 posts
561 upvotes
Vancouver, BC
Find a real job.
Or don't spend more than you make.
Deal Fanatic
Nov 24, 2013
5456 posts
2060 upvotes
Kingston, ON
How many hours are you working for $1,000? At 40 hour weeks, that would be $6.25/hr. Or is this a part-time thing?
[OP]
Jr. Member
Mar 17, 2015
124 posts
20 upvotes
North York, ON
Mike15 wrote:
Feb 9th, 2018 5:56 pm
How many hours are you working for $1,000? At 40 hour weeks, that would be $6.25/hr. Or is this a part-time thing?
I am still in school so I am not keeping track of my hours
Deal Fanatic
User avatar
Mar 23, 2008
8712 posts
5240 upvotes
Edmonton
Cocoboy1993 wrote:
Feb 9th, 2018 6:01 pm
I am still in school so I am not keeping track of my hours
You must have a rough idea how much you’re working. If not, start keeping track of it. If you can make more money working somewhere else, then give it consideration. If you’re only working 20 hours a month, then shut up about it, thank your dad for his gift, and get a part time job if you need to.

C
Sr. Member
May 23, 2014
864 posts
436 upvotes
canada
You need to profit share or Use that cash to invest into the biz.

What cheapskates don’t get is that incentivizing employees or even family members bring in more cash.
Deal Fanatic
User avatar
Dec 27, 2009
6475 posts
3651 upvotes
Ottawa, ON
How much are you working there? Who is paying for your school? Do you still live under your parents' roof? What bills do you have? These are all questions I would ask you. If you are living with your parents still and they are paying for your living expenses/school then I would not be too worried about getting more money. If you are living on your own and have serious expenses then my advice would maybe be different.
Sr. Member
Nov 6, 2015
686 posts
283 upvotes
Guelph, ON
thesick wrote:
Feb 10th, 2018 5:03 am
You need to profit share or Use that cash to invest into the biz.

What cheapskates don’t get is that incentivizing employees or even family members bring in more cash.
The OP has given far too little information to make any judgements on his parents or for us to give any useful advice. For all we know the OP works only 10 hours a week and lives at home with free meals. If that is the case, his parents are extremely generous and he would be a fool to quit and work somewhere else.

Just because his salary "doesn't meet his expenses" is no indication if he is being paid fairly. If I was paid $20/hour for unskilled labour it would be more than fair, but it wouldn't "meet my expenses" if I only worked there 10 hours a week.
Deal Addict
User avatar
Aug 1, 2007
1374 posts
186 upvotes
"Dad, can you pay me more? Otherwise I'll need to leave and get another job because I can't pay my bills." If he can't say you can come back later when it's more established. He'll understand.
Deal Fanatic
User avatar
Jan 27, 2007
5027 posts
903 upvotes
Peterborough
The bigger issue when looking at budget deficits is the expense side. Perhaps OP ought to look at how much he is spending.
Member
Apr 29, 2017
275 posts
92 upvotes
What is the family business and is it actually profitable for your dad?? A lot of new business take time and extra unprofitable hours put in to become established. Hopefully your dad knows his numbers and will pay off for both of you eventually.
Deal Addict
User avatar
Sep 4, 2005
2836 posts
594 upvotes
Toronto
Mitts87 wrote:
Feb 11th, 2018 7:52 pm
What is the family business and is it actually profitable for your dad?? A lot of new business take time and extra unprofitable hours put in to become established. Hopefully your dad knows his numbers and will pay off for both of you eventually.
This,
You shouldn't be looking to squeeze your dad for money, but rather looking at how you can have your business make more money. Maybe opening on weekends might drive more revenue...

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