How to Split Your Rental Income

3 minute read

“

The difference between being broke and being rich is knowing where your money went.”

In This Blog:

• How to Split Your Rental Income into Profit First Style Percentages (Finally!)

• Ladies in Property: Kim Opszala’s Leap from Law to HMOs

• UK Update: Furnished Holiday Lets

How to Split Your Rental Income into Profit First Style Percentages

Ever set up your bank accounts to use the Profit First money management system and then thought ... okay, now what?

This week, I’m showing you exactly how to split your rental income across each account so you can confidently take control of your cash and never leave profit as an after thought again.

Here’s How the Split Works:

Let’s say £5,000 rent hits your main bank account.

Instead of letting it sit there (where you’ll definitely spend it), you immediately divide it across different bank accounts like this:

Profit Bank Account: 5% = £250 (yours to keep, celebrate!)

Owner’s Pay Bank Account: 50% = £2,500 (your salary)

Tax Bank Account: 15% = £750 (HMRC’s cut, not yours)

Operating Expenses Bank Account: 30% = £1,500 (bills, maintenance, the boring stuff)

Now

your money has a job. Each pound knows where it belongs.

The

beauty of this Profit First style system?
It’s yours to customise.

If you’ve just sat down to start transferring money and finding there’s nothing left over, don’t head for the bottle, you can adjust the percentages. Start with transferring just 1% of your rental income into the profit bank account if you need to—it’s about building the habit, not perfection.

Mindset Shift

But here’s the real shift: this is about mindset, not just maths.
Once you see your money clearly separated, you’ll stop spending what should be profit.
And if you need a little nudge to stay on track? That’s what accountability is for, I can help with that.

Ladies in Property Profile: Kim Opszala

Kim Opszala spent years as a solicitor handling high-stakes mergers and acquisitions, but realized corporate success came at a steep price, long hours, crushing stress, health issues, and barely seeing her partner.

So she made a bold move: she left law to build a property business through rent-to-rent deals and eventually pivoted to buying HMOs outright, giving her real security through asset ownership.

But here’s where it gets good: Kim recently converted a van into a camper and now splits her time between life in the UK and life on the road, travelling with her family whilst continuing to run and grow her property business.

Her story isn’t just about changing careers, it’s about designing a life where freedom and financial security go hand in hand.

She’s proof that sometimes the smartest financial move is walking away from the “safe” paycheque to build something that’s actually yours.

UK Update: Furnished Holiday Lets

Big changes ahead for FHL landlords.

The UK government abolished the furnished holiday lettings tax regime from April 2025, removing the tax advantages that holiday let landlords had over standard residential landlords. Furnished holiday lettings tax regime abolition - GOV.UK

From April 2025, the normal residential property CGT rate of 24% applies, and the ability to ‘rollover’ gains is gone with no transitional rules, no matter how long you’ve operated your FHL. Tax changes for furnished holiday lets

Capital allowances are no longer available on fixtures, furniture or furnishings after the repeal, Clarification on abolition of the furnished holiday lettings tax regime - GOV.UK, so if you’re in this space, it’s time to revisit your numbers and strategy. This isn’t a drill, it’s a tax landscape shift.

Ever wonder why you always feel broke despite collecting rent every month?

I’ve just launched a one-hour email workshop, Profit First™ Principles For Rental Owners, *delivered over 5 days (with bonus tools worth £157) that fixes exactly that.

As this is effectively a private workshop delivered by email. You can also ask questions and I’ll send you some quick recommendations.

The £27 early bird offer ends Nov 30th, after that the workshop will be £47.

Plus if you enrol by 31 October, there’s an optional BONUS: A free 1-to-1, 30 minute Instant Assessment Call to give you a baseline of where you stand right now with your rental income and exactly where it’s going,

Click Here for Full Details

Your Financial Ally

*The Profit First™ system was created in a book called: Profit First by Mike Michalowicz, you should read it.