The Profit First method uses five core bank accounts to help you manage cash, pay yourself first, and stay profitable:
Income · Profit · Owner’s Pay · Taxes · Operating Expenses
It’s not about being fancy — it’s about clarity. Each account has a job.
Why Separate Profit First Bank Accounts Matter
Ever opened your bank app and thought, “I have money… but can I actually spend it?”
When all your cash is in one account, it’s easy to overspend.
Profit First fixes that by giving every dollar a job — and every account a clear purpose.
It’s like envelope budgeting for business… but way more powerful.
The 5 Core Profit First Bank Accounts You Need
1. Income Account
→ What it is: The holding tank. All revenue lands here.
→ What to do: Transfer twice a month into the other accounts. Don’t pay bills from this account.
2. Profit Account
→ What it is: Your owner reward.
→ What to do: Set aside 1–5%+ and keep your hands off. Quarterly = Owner Bonus Day.
3. Owner’s Pay Account
→ What it is: Your salary.
→ What to do: Pay yourself from here regularly. This is your paycheck.
4. Tax Account
→ What it is: The silent hero.
→ What to do: Allocate 15–20% of revenue. IRS panic: avoided.
5. Operating Expenses (OPEX) Account
→ What it is: What’s left to run the business.
→ What to do: Pay bills, team, and tools. If it’s not enough — the business model needs adjusting, not your pay.
Do I Have to Use All Five?
Nope.
Some clients start with just Owner’s Pay and Tax accounts.
The magic is in the habit — not perfection. Start simple, build from there.
Choosing the Right Bank
Not all banks play nice with Profit First. Look for:
✅ No-fee checking
✅ Easy online transfers
✅ Great mobile experience
✅ Multiple accounts allowed
✨ Many of my clients use Relay Bank — it’s free and built for Profit First.
Venus’ Pro Tips
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Nickname your accounts (like “IRS $$$” or “OPEX Only”)
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Automate your transfers
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Set calendar reminders for your Allocation Days (I recommend the 10th + 25th)
Want Help Applying This?
I’m Venus Michael — a Profit First Certified Bookkeeper based in Central Texas and proudly serving creative entrepreneurs, consultants, and service providers across the U.S.
I help you pay yourself, build profit, and ditch financial stress — without drowning in spreadsheets.
👉 Ready to simplify your setup or calculate your percentages?
Book a Discovery Call or grab our free tools and let’s build a bank system that works.
One21 Account-Ability is a Profit First Certified bookkeeping firm located in Central Texas and proudly serving entrepreneurs, consultants, and service providers nationwide.
