It’s one of the most frustrating experiences for any construction business owner: your accountant tells you that you made a profit this year… but your bank account says otherwise. Where did it go?

In this episode of Cabinet Maker Profit System, Dominic Rubino sits down with Phil McGilvray—a finance educator and founder of Grandma’s Jars—to tackle this question head-on.

From Grandma’s Jars to Global Advice
Phil shares his journey from budgeting with glass jars as a teenager to becoming a stockbroker and finally, a financial coach for trades and small business owners. His mission? Make money simple.

The 5 Numbers You Must Track
Phil breaks down five numbers every construction business owner needs to track monthly:

1. Revenue – Money physically received, not just invoiced.
   
   
2. Salary (to yourself) – What are you actually paying yourself?
   
   
3. Expenses – Split into cost of goods sold and overhead.
   
   
4. Taxes – Estimate this monthly and set it aside.
   
   
5. What’s left – This is your actual profit (or loss).
   
   

Tracking these numbers gives you visibility—and power.

Why Profit Doesn’t Always Equal Cash
Phil explains how things like owner draws, debt payments, and taxes often aren’t included in your accountant’s “profit” calculations. No wonder it doesn’t feel like you’re making money.

First 24 Hours, Next 24 Days
If you’re ready to take action, Phil recommends:

• In 24 hours: Review your expenses and fix profit leaks.
  
  
• In 24 days: Set your ideal salary, monitor those 5 numbers, and cut unnecessary spending.
  
  

Build Your Cashflow Safety Net
Phil’s “financial stability cascade” includes:

• 1.5x monthly expenses in your operating account
  
  
• A rainy-day fund
  
  
• Debt reduction
  
  
• Long-term reserves for growth
  
  

Phil’s message is clear: you don’t need to be a math whiz to take control of your finances. Just start with the basics, and take action. As he says, “Action is the antidote for despair.

‍More about Phil: Website | Grandma’s Jars | The Cashflow Fix by Phil McGilvray

Connect with Us:

• LinkedIn: Cabinet Maker Profit System
• Instagram: @cabinetmakerprofitsystem
• Facebook: Cabinet Maker Profit System
• YouTube: @Cabinetmakerprofitsystemcom