AboutArthur Naman Expertise General accounting and bookkeeping questions. How to do monthly bookkeeping, how to prepare financial reports. How to reconcile accounts.
I cannot answer questions pertaining to pension or retirement planning.
This is not a forum to have homework answered. Please do your own homework.
Experience 30 years' experience doing tax and accounting work
Education/Credentials MPA from Univ. of Texas at Austin, MBA Golden Gate Univ, San Francisco CA
Question What % of my business payroll should my monthly gross be? If my company makes $900,000 per month gross, how much of that should go to payroll. How do I know if too much is going to payroll? Is there a formula?
Answer There is no specific answer to your question.
For certain industries, there are guidelines, but nothing is specific. Also, since your business is as small as it is, the normal guidelines available that I have seen work for "small" businesses of several million in gross sales.
A better question might be whether or not the wages are in line for people with the skills you need. Are you over- or under-paying for the skills needed.
