Helping You with Your Amazon FBA Business

Get to Your Weekly Paycheck Goal

Weekly Paycheck FIHow much do you pay or want to pay yourself every month from your Amazon FBA business?   And how much in sales do you need to do to get there?

I currently pay myself $100 a month – $50 on the 5th and $50 on the 25th of each month.  I chose that number when I first started Profit First as I wanted to start out small.

In January, I want to start paying myself $300 a month to pay for my new medical insurance payment.  I lost my medical coverage from work when I went part-time and now I’m facing a new monthly expense.  I did pay for medical with my old job, but since it was deducted out of my paycheck, I never “saw or felt” the medical insurance payment.

But to be honest, I want my Amazon FBA business to support much more than a medical insurance payment.  I want it to replace both my old income and my husband’s current income.  Until I get to that point, I would at least like to draw enough out of my Amazon FBA business to double up on the house payment and to save for retirement.

$750.00 Goal
My “big” goal for the upcoming year is to pay myself $750 a week or $3000 a month.  Now, some may consider that an easy, low number to shoot for.  They’ll say that if you go by the 3X Rule, all you have to do is buy $750 of product each week, sell it for $2250 and then you’ll have a $750 per week profit to pay yourself with.

Unfortunately, it’s not as simple as that.  Why?  Because that $750 of new money needs to pay for others things too:

  • Monthly or annual subscriptions
  • Prepping and shipping supplies
  • Education and training materials
  • Future taxes
  • Emergency Fund
  • Credit card payment if you have unsold inventory that needs to be paid for

So, back to my question, how much do I need to sell (based on the 3x Rule & Profit First) to take home $750 a week?

My Answer….$6429.00
I agree, that’s a lot of money in sales to take home $750.00 per week.  Below is how I come up with the number:

Amazon FBA Paycheck Example

Looking at that weekly sales number is hard for me to grasp.  But I’m thinking that as my numbers grow, that I’ll be able to shift some of the Operating Expense money into the Profit and Owners Pay accounts.  As I do this, the weekly sales target will go down.

Unless I start hiring help or renting space, I don’t foresee needing close to $4,000 a month for operating expenses especially since most of the monthly subscription fees are a fixed cost.   At that point though, I would definitely hire a bookkeeper & a housecleaner!

Do my numbers make sense to you?  If not, please advise as I really want to look at this realistically to see if my goal is possible while working alone.

Breaking it down further, I estimate that I’ll need to buy and sell 50 pairs of shoes each week to meet this goal.  If I source 5 days a week, finding 10 pairs of shoes a day is possible.  Plus, I’ll still be selling toys and items from other categories that’ll help lead me to my weekly goal.

Wishing you all a nice Holiday Season and a Prosperous New Year!


p.s.  If you’re interested in learning more about Profit First, please read this blog post about it.  It has really changed how I operate my business!

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{ 9 comments… add one }
  • Ree Klein December 20, 2015, 6:45 pm

    Hi Diana,

    You and I started our journeys selling on Amazon around the same time and I’m excited to see that you’re still working your business and making progress! We chose different paths: you stuck with retail arbitrage while I jumped into private labeling. Either way, knowing your true costs and not stripping the business of cash is critical to success and you clearly get that.

    I haven’t taken any draws from my business but that’s due in part to the additional up-front costs with private labeling. My basic model is that I aim for a 4x markup (if something costs me $10 all in, I shoot for a minimum sale amount of $40).

    As an FBA seller I find that I’m paying Amazon an average of 32% of revenue (sales). Given that, if I were to start taking a draw I would only allow myself 25% of revenue, which leaves 25% to purchase new inventory and 18% to cover the cost to run the business and grow it.

    Based on your goal to take a $3,000 monthly draw (which is about what I would like, too!), I would have to generate $12,000 in monthly revenue. I’m a long way off from that, but I do believe it’s a very real goal.

    Thanks for sharing and I wish you a world of success!

  • Diana December 21, 2015, 12:42 am

    Hi Ree,

    Thanks so much for sharing your numbers and your journey into Amazon. I have not yet began to do any Private Label yet and am very impressed that you were able to start on it so early.

    Even with the higher up-front costs and all that needs to be done to find your product and get it going, I do see where it’s very worth it in the end with having no competition, a replenishable and a higher return.

    I’m going to follow you on your website and see how you’re doing with your PL and hoping I can learn from you when the time comes for me to get into PL.


  • Joey January 6, 2016, 2:48 pm

    Hello Diana,

    Great post. I’m very glad I came across your site full of excellent, useful information.
    Just a quick question, do you take into account tax deductions for your business?

    Thanks again for being Awesome,

    • Diana January 6, 2016, 5:27 pm

      Hi Joey, I’m not sure if I understand the question, but all of my expenses are categorized in my check or credit card registers when I purchase them. In my payroll calculations, the 45% that I allocate towards Operating Expenses is what I keep in my checking account. With this money, I pay off my credit card bill. If for any reason the 45% doesn’t cover these expenses, then I can draw from my savings account but then I also have to figure out why the 45% isn’t enough.

      During the year, I don’t really think about taxes and let my CPA handle that. Once I have my taxes completed and I know if I owe or if I’m getting a tax refund, I’ll make adjustments to my 15% Taxes allocation account.


  • Jake January 8, 2016, 10:36 pm


    Great thinking here. I love that you are thinking like a business owner and not like a customer! The challenge that I see here is in scaling you efforts of sourcing at that 3X or 300% profit model. While there are good deals to be had at that rate, I’ve found that most experienced sellers can’t get much inventory volume (that sells quickly) at that spread in RA of OA.

    This in my opinion is why sellers that want that type of spread on a product (who wouldn’t???) quickly explore wholesale or PL.

    Are you finding it is feasible to consistently locate $2,200 (buy cost to get to $6,500 sales price @ 3X profit) worht of product every month in RA?

    Keep up the great work!

    • Diana January 9, 2016, 12:10 am

      Hi Jake,
      Finding enough products to sell has always been my biggest challenge.

      I should have better results this year as I just started selling in the shoe category last month and am currently getting an average per-item shoe profit of over $30.00.

      As you mentioned, wholesale or PL is the next step and I’ll be exploring those options this year as well.

      Thank you for stopping by! I appreciate your comments.


  • AJ June 9, 2016, 10:40 pm

    Hi Diana, You are work here is truly inspiring! I am just getting started on Amazon FBA and curious if you had to incorporate a business name/ trademark or any other paper filing before starting your business as a sole proprietor?


  • Diana June 10, 2016, 12:11 pm

    Hi AJ,
    About all I did was do some searching to check that my business name wasn’t in use by anyone else. For example, I googled it, did a business name search with my State Dept of Revenue’s website and did a national trademark search online.

    But I didn’t take any steps to trademark my business name.



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About Diana

I am working towards creating a full-time income by selling on Amazon. It's a lot of work but very fun! If you're interested in selling on Amazon, be sure to follow my blog as I'll be providing you with lots of tips!


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