# - Profits First Calculation

By

###### updated 7 months ago

**What is Profit First?**

Profit First is a system (and a great book!) from small business finance expert Mike Michalowicz.

Profit First is based on the idea that we need to allocate our income and prioritize our profit *before* paying any of our expenses.

Typically, we take our income, subtract our expenses, and call the leftover profit (if we’re lucky enough to have any).

**Create Data Mash Calculation with this Formula:**

We recommend you flip to the calculation:**Old:** Income - Expenses = Profits**New:** Income - Profit = Expenses**Calculation for Data Mash is:**1. Create a "User Option" of What Percentage do you want the profits to be. Type in "Profit First %" Tab to Create a User Option.

2. Hit the Plus

3. Use the "Range as Last Month" This will be your Income

4. 1st Calculation. Total Income * Profit First % = This is the Profits

5. 2nd Calculation. Total Income - ( Total Income * Profit First % ) = This is the Expenses

6. Click Save

7. Add Title - Profit First Calculation

8. Add Note - Income - Profit = Expenses

or

9. Save Calculation.

9. Save and Post to the Bridge (You can share this with the Owner of the Business)

**Need Help with the Calculation We will help you, Submit a Ticket.**