Are you an unexpected bookkeeper? You never thought ''til death does us part' included 'till the ATO asks for our BAS?' And the worst part – you seem to be on the bottom of the list for payday? And yet somehow, even though you do the books and you know to the cent how much the last paid invoice was... you're not actually sure where the cash is going? 

This is where Profit First comes in. In the Unexpected Bookkeeper membership, Profit First is THE core method to handle your finances behind the scenes. It’s a simple system that helps small business owners stay on top of cashflow, pay the important people properly (you or them!), and keep the business financially healthy.

Pay the Bookkeeper First

If you and your life partner run a business together, have you ever discussed the roles each of you play? Or perhaps that's changed over the years. One of the biggest mistakes small business owners make is paying the household last. The Profit First method flips that thinking, and prioritises owner pay (and satisfaction!).

Instead of waiting to see if it's two minute noodles for the end of month week, you allocate profit and your pay first. Yes, before anything else. Paying the household creates consistency, builds respect for the work the both of you are doing, and sets healthy financial boundaries. When businesses pay their owners first, it becomes easier to manage their energy and motivation because they're much less likely to burn out, or stress so much they start to infect every one else. 

Use The Bank Account System

Profit First is built around a simple but powerful concept: separate bank accounts for different purposes. Instead of one big pot of money that’s hard to track, you have clear categories like Income, Profit, Owner’s Pay, Tax, and Operating Expenses. Every time money comes in, you move it into the right account. This gives instant visibility into what’s available for bills, what’s reserved for tax, and what’s genuinely profit.

For example, if $5,000 lands in your income account, you might transfer 10% to Profit, 30% to Owner’s Pay, 15% to Tax, and the remaining 45% to Operating Expenses. Suddenly, your cash isn’t mysterious, it’s organised. You’ll know what’s safe to spend and what needs to stay put.

How Profit First Helps with Budgeting

Traditional budgeting can feel overwhelming, especially if numbers aren’t your thing and spreadsheets give you night chills. The Profit First method simplifies money. Because your bank accounts are already divided by purpose, you can see where your money goes without crunching endless spreadsheets. If there isn’t enough in the Operating Expenses account to cover something, that’s your signal to cut costs or adjust allocations. It’s real-world budgeting, not guesswork. 

This approach also builds better habits. You become more aware of where money flows and learn to make decisions based on what’s available, not just what’s in the bank. Over time, it strengthens cashflow and gives you peace of mind knowing your business can support your family.

Profit First isn’t just a bookkeeping method, it’s a mindset shift. It teaches you to prioritise sustainability, clarity, and confidence in how you manage money but it does take time. In the Unexpected Bookkeeper membership, we have heaps of resources to help step into the Profit First mindset using Xero, one of the best small business accounting software available. It's a match made in heaven that comes with lots of support from Jodi Porteous, Chief Education Officer and successful owner of Northwest Accountancy.

Not yet a member? Join The Unexpected Bookkeeper today and learn how to make your money work for you.