Innkeeper's wage

Definition

The market cost of the hosting, cooking, and management labor the owner performs.

Why It Matters

A bed and breakfast's earnings almost always include the owner couple's full working life: breakfast service, housekeeping coordination, bookings, repairs, and being on call. Subtracting a real wage for that labor is the single most clarifying calculation in the trade, because it shows how much of the cash flow is a return on the property and how much is a job the buyer is purchasing. Most listings survive the first math and not the second, which is the honest read, not a flaw.