28 May Tip Tuesday
Welcome to Eagle & Fein, P.C.
Are you a business owner of a closely held corporation trying to determine what a reasonable salary is for yourself or your employees? Here are some key factors to consider:
- Industry standards: Research what the typical salary range is for similar positions in your industry. This can give you a good starting point for determining what is considered reasonable.
- Company profits: Take into account the financial health of your company. If your business is struggling, it may not be feasible to pay higher salaries. On the other hand, if your company is thriving, you may be able to offer more competitive salaries.
- Employee contributions: Consider the value that each employee brings to the company. Those with specialized skills or who play a key role in the success of the business may warrant higher salaries.
- Market conditions: Factors such as the cost of living in your area and the overall job market can impact what is considered a reasonable salary. Be sure to take these external factors into consideration when making salary decisions.
By carefully considering these factors, you can ensure that you are offering fair and competitive salaries to your employees while also taking into account the financial health of your business. #business #salary #closelyheldcorporation #faircompensation
Is there a question you would like to have answered? Let us know!
