| There’s a moment that arrives quietly for many small business owners, particularly in practical, hands-on trades like gardening. It doesn’t come with drama or collapse. It often arrives while doing something ordinary — loading tools, filling in paperwork, checking a diary. The thought lands gently but firmly: “The person I employ earns more per hour than I do.” Not theoretically. Not emotionally. But when the numbers are laid out honestly. It’s a moment that feels uncomfortable enough to push away, yet clear enough that it doesn’t go away. When the Employer Earns Less Than the Employee |
| The surface view looks fine. From the outside, a gardening business often looks healthy. There’s steady work. There are regular clients. The diary is full. The work is physical, visible, and appreciated. An hourly rate like £25 or £27.50 sounds solid to many people — even generous. It’s often compared, consciously or unconsciously, to salaried wages. And in casual conversation, that comparison seems to make sense. But small service businesses don’t operate on casual comparisons. They operate on margins, gaps, risk, and time that never appear on an invoice. |
| The difference between being paid and being responsible An employee gardener is paid: for every hour they work regardless of travel, weather, or cancellations without having to consider insurance, equipment, admin, or future work Their wage is: predictable immediate contained That clarity is one of the benefits of employment. The business owner’s income is different. It is shaped by: unbillable time gaps between jobs planning, scheduling, and follow-ups equipment costs and maintenance insurance, fuel, materials client communication weather, illness, and cancellations When all of that is taken into account, the headline hourly rate becomes something else entirely. What looks like £25 an hour on paper can quietly become far less when spread across the real working day. |
| The moment the maths becomes unavoidable. Eventually, many owners do the calculation properly — often for the first time. They account for: How many hours in a week are genuinely billable How many hours are worked but never charged What it actually costs to operate per hour And when that happens, a strange reversal can appear. The person carrying the responsibility, the risk, and the continuity of the business may be earning less per real working hour than the person they employ. That’s not an exaggeration. It’s arithmetic. |
| Why does this feel so confronting Part of what makes this realisation difficult is cultural expectation. We’re used to the idea that: “If you’re the boss, you must be doing better.” But in small, local service businesses, that assumption often doesn’t hold — especially in the early and middle years. The owner is not paid a wage. They are paid what remains after all other expenses have been met. And sometimes, what remains is very little. That can feel unfair — even embarrassing — particularly when the work itself is skilled, demanding, and valuable. |
| This isn’t about resentment or regret. It’s important to be clear about what this reflection is not. It’s not resentment toward staff. It’s not a complaint about paying fair wages. It’s not a plea for sympathy. Paying employees properly is right. Clear wages provide stability and dignity. The discomfort arises not because staff earn “too much”, but because the structure beneath the business has not yet caught up with reality. |
| The hidden cost of goodwill Many local businesses are held together for years by goodwill. Goodwill from clients, who appreciate flexibility. Goodwill from staff, who trust the business. And goodwill from the owner, who quietly absorbs pressure. Goodwill can be a strength — but it can also mask strain. When goodwill replaces structure for too long, the business begins to rely on the owner’s willingness to earn last, wait longer, and take less. This often happens gradually, without any clear decision being made. |
| Why hourly pricing makes this harder to see Hourly pricing offers transparency, but it also has a flaw: it makes revenue look like wages. Clients see an hourly rate and instinctively compare it to their own pay. Owners do the same — sometimes unconsciously. But an hourly rate in a business is not a wage. It is a unit of revenue. Confusing the two can lead to quiet under-earning, even when the diary is full. |
| The emotional weight of comparison The moment when an owner realises their employee earns more per hour can trigger a cascade of thoughts: “Am I doing something wrong?” “Why am I taking on all this responsibility?” “What is the point of this?” These thoughts are not signs of weakness. There are signs that the business owner has stopped running on momentum alone and started paying attention to reality. That’s a necessary — if uncomfortable — stage. |
| This situation is more common than people admit Many small business owners experience this phase but rarely talk about it. There’s a tendency to assume that if something feels wrong, it must be personal — a lack of drive, confidence, or ability. In truth, it’s often structural. A business can function, appear successful, and even grow — while still failing to reward the person holding it together. |
| The danger isn’t the realisation — it’s ignoring it. The real risk is failing to notice this imbalance. The real risk is continuing indefinitely without questioning whether the model still makes sense. Burnout often follows not from hard work, but from prolonged misalignment — where effort and reward drift too far apart. The moment of noticing is actually protective. |
| A quieter, more useful way to see it Rather than thinking: “My employee earns more than I do.” A more accurate framing might be: “My business is still paying wages more reliably than it pays ownership.” That’s not a moral judgement. It’s a description of a stage. Stages are temporary — if they’re acknowledged. |
| Why this reflection matters Small local businesses are the backbone of communities. They’re also fragile. They survive on care, skill, and persistence — but they cannot survive indefinitely on imbalance. Taking time to reflect on these realities is not negativity. It’s stewardship. It’s the act of asking whether a business is sustainable not just for clients and staff, but for the person carrying it forward. |
| Closing thought If you ever find yourself quietly realising that the person you employ earns more per hour than you do, it doesn’t mean you’ve failed. It means you’ve reached a point where honesty matters more than appearances. And that moment — uncomfortable as it is — is often where better decisions eventually begin. |
Earthly Comforts 
A very eye opening analysis Rory. I guess it’s something 99% of people don’t realize
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Hey Sadje, it’s probably the number one issue that most clients do not take into consideration.
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Yes, it was news to me too.
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