If you are a founder of a Startup, then you are thinking how much should you pay yourself? Most of the Startup founder pays $50000 per year to them.  For an international comparison, we have put the figures in USD, and they will change for each country. For India, most Startup owners start with no salary at first and gradually increase their salary as they progress. It can range from INR 10,000 to INR 100,000 per month for an initial couple of years.

As a founder of a Startup, you put your all hours to your business because your business becomes an important aspect of your life. For achieving the goal of your organisation the CEO and founders need to be smart about how they pay themselves by adjusting the payment to match their company growth. While you are deciding your salary, you need to maintain the balanced that just about covers personal expenses. You don’t decide a lot of salaries which covers your luxurious vacations at least not until you justify the great profit yourself. As founder instead of concentrating on day to day struggle with finances, you should concentrate on increasing your capital.

As a founder, it is important to understand that you are in it for the long game. Your main aim is how to build the long-term value and be rewarded on a medium to long-term horizon. All these things happen through increasing value of your equity. As founder instead of deciding salary, you have to use the extra money on building infrastructure hiring talented people who accelerate your growth and developing marketing campaigns for make your business goal successful. Once your business becomes healthy, then you can decide your proper salary. If you meet your business goal and become successful in your business, then you will be rich enough so that it won’t matter. Following are some approaches from which Startup founder decide their salary.

Steady and slow:

The generated monthly revenue is the greatest predictors of founder salary but unless and until a company is exceeding $10000 per month in revenue the average salary of fonder doesn’t exceed $50000. Suppose Startup generates $1 million per month revenue then founder’s salary breaks the $1000000 mark. In early days of the Startup, the money is tight, so compensation is low or no existent. If your company progress is increase after day by day, then you can increase your compensation.

Determine your salary for completing needs:

Another way to determine your salary is to look at the amount you required to fulfil your basic requirements. Your requirement depends on variables like whether you are single or you have children or complete cost of your food, mortgage and health insurance you can determine your monthly living requirements. Create your budgets that list your monthly expenses and debts, so from that, you can easily determine your salary. You can find freelance jobs online in the Startup Company easily.

Defer damages:

Some of the Startup founders decide their salary according to the market rate for principle as an organisation were profitable and then defer those salaries until they get substantial revenue. That founder does not increase themselves up to that official salary they go up incrementally. Suppose you agree to take 25 percent of it and then as funding grow up to 50 percent and then 75 percent and so on. The main intention is that too does not choose high salary but choose market rate salary that makes sense for your organisation, for you and the industry that works up to it. You can find freelance jobs online in the Startup Company easily.

Personal growth:

You can increase your personal growth with a share in equities of the company, so it is the great approach for your growth with the company growth. You can also decide your salary as some percentage of revenue. When you achieved your specific target, you could set up for bonuses. It is the excellent way to grow along with your company. Your focus is always on target so that you can achieve your set milestones successfully and it will help you to grow yourself with your company.


When you hit a milestone whether that is revenue milestone, a product launch, or completion of fundraising round you always decide your salary and make sure that is a company using resource properly. CEO that has guided and grown the company as well as other members of the founding team, the raise or bonus they deserve and that you can comfortably afford. You can hire freelancers who work with the Startup Company.


In this article, you get information regarding how to determine your salary as a Startup founder. As Startups founder, you don’t decide the lot of salaries which covers your luxurious vacations at least not until you justify the great profit yourself. Also, set the goal and achieve it so that it will help you to grow your business successfully and if your business growth becomes successful then you automatically raised your salary.