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Re: How Do CEOs Pay Themselves? by praiz01: 5:50pm On Feb 28, 2018 |
My name is Dr Precious and am the CEO of PG HEALTHCARE NIG , when we started our business our monthly turn over was same for 8 months , for one year i was putting money into the business from my salary and was taking nothing from the business, we are 4years in the bussiness now with a monthly turn over of 800-1mil and every staff is on salary including me .. Jumping into your company acct at every point in time to withdraw cash is as dangerous as carrying cash around ,you spend before thinking and on unnecessary things too.... my humbly advice check my handle on I.G @pghealthcare 2 Likes |
Re: How Do CEOs Pay Themselves? by CosmeticChemist(m): 5:50pm On Feb 28, 2018 |
I pay myself a certain percentage of annual profit and save the rest.. 1 Like |
Re: How Do CEOs Pay Themselves? by profosa: 5:59pm On Feb 28, 2018 |
praiz01: |
Re: How Do CEOs Pay Themselves? by Adefemiaderoju1: 6:17pm On Feb 28, 2018 |
Stupid question |
Re: How Do CEOs Pay Themselves? by urbanemind(m): 6:18pm On Feb 28, 2018 |
Ayodejioak:So So out of point. 1 Like |
Re: How Do CEOs Pay Themselves? by alezzy13: 6:29pm On Feb 28, 2018 |
I think OP is mistaking a CEO for a proprietor of a private coy. A CEO is an employee just like the cleaner so he is paid a fixed amount just like everyone else (albiet higher) And yes he can be fired as well. 1 Like |
Re: How Do CEOs Pay Themselves? by Ayodejioak(m): 6:33pm On Feb 28, 2018 |
urbanemind: We can only try to bring smart ideas to forum Unfortunately, we are not able to bring smart people to every comment! |
Re: How Do CEOs Pay Themselves? by uuzba(m): 6:37pm On Feb 28, 2018 |
It's important to balance your books well and pay yourself a salary. That's how you will know if your business is OK or just waste of time. - Treat yourself like a staff as well. In case you are tired and wish to handover daily duties to another person at least you will know exactly how much salary to pay such a person and you will know that you how viable (how long) you can keep paying that amount. |
Re: How Do CEOs Pay Themselves? by uuzba(m): 6:37pm On Feb 28, 2018 |
Adefemiaderoju1:Stupid answer. |
Re: How Do CEOs Pay Themselves? by frugal(m): 6:55pm On Feb 28, 2018 |
Fixed salary is good. I get N0.00/month. But all my expenses are taken care of by the company, and properly recorded/documented. But still don't go beyond a certain limit per month. Additionally I get sales commissions like every other sales person - only for deals I close personally. Fixed salary is good, makes you a responsible owner. Will consider one in the future. |
Re: How Do CEOs Pay Themselves? by ladyF(f): 6:55pm On Feb 28, 2018 |
My own company is yet to pay me salary o, who do I report them to? 1 Like |
Re: How Do CEOs Pay Themselves? by IamaNigerianGuy(m): 7:01pm On Feb 28, 2018 |
If your company has a board, the board determines the compensation. For small and medium companies, compensation usually consists of a salary and stock / shares. The salary is usually to enable the CEO meet his day-to-day needs. The real money is in stock. For very large companies, especially where the CEO is already wealthy, salary is inconsequential. Besides, many other needs of the CEO (housing, healthcare, travel, school fees) are taken care of by the company. Dangote, Sundar Pinchar, Elon Musk do not do it for salary. When Steve Jobs took over Apple the second time, his compensation was only $1 per year in salary but 100 million shares. In some cases, the CEO may decide to take only shares when the company is in trouble and he wishes to express his confidence in it's future prospects. In badly run companies, the CEO has full access to the company's resources and may pay himself as he / she wishes. This sort of financial indiscipline is one of the main causes of business failure. In Nigeria, many public companies pay both high salaries and high compensation - which shows you that we have a poor corporate culture. 1 Like |
Re: How Do CEOs Pay Themselves? by Abogwara: 7:01pm On Feb 28, 2018 |
Well I own chain of companies but earn little as salary. That's the key to accelerated growth of your firms if sole proprietorship or Nigerian family limited company. I made mine a mark of 600k monthly after the drop in value of Naira as it was 300k prior to that. My company sponsors my private capital projects like house and car acquisition while my basic 600k take home is for every other thing including, grooves, school fees and family upkeep. 1 Like |
Re: How Do CEOs Pay Themselves? by monlawal(m): 7:02pm On Feb 28, 2018 |
speaktome:Hello Sir, I need a rice milling machine. How do we go about it |
Re: How Do CEOs Pay Themselves? by freshdude99(m): 7:03pm On Feb 28, 2018 |
Adefemiaderoju1:Foolish reader and commenter |
Re: How Do CEOs Pay Themselves? by speaktome(m): 7:18pm On Feb 28, 2018 |
monlawal: Complete rice milling equipment? |
Re: How Do CEOs Pay Themselves? by IamaNigerianGuy(m): 7:34pm On Feb 28, 2018 |
Pussyisfood: Your answer is wrong. The board determines the compensation not the CEO |
Re: How Do CEOs Pay Themselves? by IamaNigerianGuy(m): 7:37pm On Feb 28, 2018 |
Adefemiaderoju1: How is this a stupid question ? Executive compensation is a topic by itself in finance and management. People have gone to jail for getting it wrong. 3 Likes |
Re: How Do CEOs Pay Themselves? by urbanemind(m): 7:44pm On Feb 28, 2018 |
Ayodejioak:still way out of point.. |
Re: How Do CEOs Pay Themselves? by Pussyisfood: 7:52pm On Feb 28, 2018 |
IamaNigerianGuy: My answer is not wrong. I am talking in the context of a medium or small business owner, or when the CEO is also the principal share holder of the company. My only mistake is that I didn't state it. 1 Like |
Re: How Do CEOs Pay Themselves? by Nobody: 8:11pm On Feb 28, 2018 |
love yourself pay yourself first... Dr Abib Olamitoye. i love this man. |
Re: How Do CEOs Pay Themselves? by Abdul4trust1(m): 8:34pm On Feb 28, 2018 |
profosa:not Just The Directors But The Independent Non-executive Directors Determine The Remuneration Of The Board Of Directors In Which The Ceo Is A Member. Note, Remunerations Includes Basic Salary, Bonuses, Allowances Etc. |
Re: How Do CEOs Pay Themselves? by Sagamite(m): 12:10am On Mar 01, 2018 |
jamil2000: Depends on what size you refer to as "big". If it is stockmarket big or close to it, then the first responder has probably answered you. Normally the CEOs at this stage are not the founders/owners. If it is a small business/start-up, you pay yourself the barest minimum to be tax efficient. For example, in the UK, you don't pay any tax on the first £11,500 of any salary. It is called "personal allowance". So a CEO of a small company should pay himself £958 per month in salary so as to pay 0% tax on their salary (i.e. income tax). Any amount above the £11,500 (up to a certain amount) paid as salary is taxed at the rate of 20%. While dividends is taxed at 7.5% up to the next £43,000. So any more money you want to get out of the business is best paid to the owner/CEO as DIVIDENDS, rather than SALARY. That is being tax efficient. You pay less tax. In Nigeria, the equivalent of the UK "Personal Allowance" is the "Consolidated Relief Allowance", which means you pay 0% tax on (a) the first N200,000 plus 20% of your total gross annual income OR (b) 1% of gross income plus 20% of your total gross annual income (whichever is higher). So if you pay yourself N10m pa in salary, it is (b). N2.1m of the N10m is tax free. If you pay yourself N1m pa in salary, it is (a). N400K of the N1m is tax free. Dividends tax in Nigeria is a flat rate of 10%, so a owner/CEO that wants to pay himself N10m pa and still be tax efficient is better off paying himself about N500K in annual salary and then N9.5m in dividends. You can't just take money from the company's account whenever you wish in a sane country except the company is registered as a partnership. If it is a LTD, the company is separate from the owner/CEO, the tax man would clamp down on you except you can record it as a "loan to the director" that would be paid back within a reasonable time frame. 3 Likes |
Re: How Do CEOs Pay Themselves? by Sagamite(m): 12:12am On Mar 01, 2018 |
Ayodejioak: What a nonsense answer! 1 Like |
Re: How Do CEOs Pay Themselves? by Sagamite(m): 12:17am On Mar 01, 2018 |
urbanemind: Ayodejioak: If you call the junk you wrote a "smart idea", then you are a mooron! 3 Likes |
Re: How Do CEOs Pay Themselves? by monlawal(m): 6:29am On Mar 01, 2018 |
speaktome:Yes |
Re: How Do CEOs Pay Themselves? by urbanemind(m): 8:42am On Mar 01, 2018 |
Sagamite:don't mind dat confused soul, someone asked a simple question and he's writing his biography there claiming it's 'smart idea' |
Re: How Do CEOs Pay Themselves? by speaktome(m): 12:51pm On Mar 01, 2018 |
Re: How Do CEOs Pay Themselves? by Nobody: 5:56pm On Mar 01, 2018 |
Sagamite: thanks man |
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