10/29/2026
Your bank balance is lying to you — well, not lying. Just not telling the whole story.
A healthy-looking balance can still mean a business in trouble, because that money isn't all yours yet. Some of it belongs to suppliers you haven't paid. Some of it belongs to taxes you haven't set aside. Some of it is already spoken for by next month's rent, insurance, or payroll.
Before you celebrate a big balance — or panic over a low one — do this 60-second check: look at what you owe right now, and what tax you'll owe on what you've earned so far. Subtract both from the balance. What's left is a lot closer to the truth.
Profit is what you keep after the bills and the taxman. The bank balance is just what's passing through.