How Do You Pay Yourself as a Business Owner?

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If you are thinking about starting an ATM business, or any business for that matter, you might be wondering how do you pay yourself as a business owner. When you start your own business, it’s easy to focus on customers, products, and growth and forget one big question: how do you actually pay yourself?

Whether you’re running a one-person freelance operation or managing a small company with employees, paying yourself the right way is crucial for both your finances and your business’s long-term health. Especially in the ATM industry, how do you keep your revenue separate from your business expenses? And how do you calculate your profit? 

In this article, we’ll break down your options and how to do it correctly.

How Do You Pay Yourself as a Business Owner: By Business Structure

How you pay yourself depends first and foremost on how your business is legally set up. The IRS treats each structure differently when it comes to income, taxes, and distributions. 

Sole Proprietorship

If you’re a sole proprietor, your business and personal finances are legally the same. You don’t get a “paycheck”. Instead, you simply draw money from your profits. This is called an owner’s draw and is the most common route for independent ATM deployers (IADs).

With this structure, you’ll pay self-employment taxes (Social Security and Medicare) on your net income so it’s smart to set aside about 25–30% of your profits for taxes.

Partnership

Partners usually take owner’s draws as well based on their share of the partnership’s profits. Therefore, you’ll also pay self-employment taxes on your share. If you are entering into a partnership, make sure your partnership agreement clearly outlines how and when draws are made.

Limited Liability Company (LLC)

How you pay yourself as an LLC depends on whether you’re a single-member or multi-member LLC and whether you elect to be taxed as an S corporation.

In a single-member LLC, you take an owner’s draw, similar to a sole proprietor. In a multi-member LLC, each member takes draws according to ownership percentage.

LLCs can also be taxed as an S corporation. In this scenario, you can pay yourself a reasonable salary through payroll and take dividends/distributions from profits often with potential tax savings.

Corporation (C Corp or S Corp)

If you’ve incorporated, you’re both an owner and an employee. In a C Corporation, you receive a salary as an employee; dividends may be taxed separately. In an S Corporation, you must pay yourself a “reasonable salary” and can also take dividends.

When determining which structure to use when you legally set up your business, consider these distinctions and IRS guidelines. For more information about how to structure an ATM business, check out our article Do You Need an LLC for ATM Business?

Salary vs. Owner’s Draw

There are two terms for business owners paying themselves: salary and owner’s draw. If you’re taking a salary (S Corps, C Corps, LLCs taxed as S Corps), you’ll set up payroll and withhold taxes just like you would for an employee. An owner’s draw is when you take money out of your company’s account for personal use. 

As an IAD (sole proprietors, partners, LLCs), you will probably take a draw—it’s a simple way to pay yourself. However, the funds are considered taxable income and are therefore subject to self-employment taxes. So, it’s more flexible than a salary, but it requires discipline to budget for taxes and business expenses. 

How Much Should You Pay Yourself as a Business Owner?

There is no set number, percentage, formula or one-size-fits all answer to the question of how much you should pay yourself as a business owner. However, there are some guidelines you can use to help you gauge this:

First, make sure your personal needs are covered. Consider your minimum monthly take-home number for rent, bills, and other essentials. 

Then, reinvest in your business. Avoid draining your profits early on. Leave enough cash to fund operations, market, or set aside for emergencies or upgrades.

It’s also a good idea to base your pay on business performance. If profits fluctuate, consider a lower base pay and quarterly bonuses when income is strong. (For S Corp owners, the IRS requires that your salary be “reasonable”—in line with what someone doing your job would earn.)

Since many IADs at least start their ATM businesses as side hustles, these guidelines may not necessarily apply. A regular or full-time job may be covering rent and regular bills. In that case, your profit from your ATM business simply goes into your pocket less the amount you want to reinvest in your business.

How Do You Pay Yourself as a Business Owner: Best Practices

Even if you’re the only person in your business, it’s important to separate your finances to keep things organized, clean, and compliant. Therefore, you should open a dedicated business bank account, use accounting software, automate transfers, and save for taxes.

A dedicated business bank account helps ensure that you don’t use business funds to pay for personal expenses and vice versa. As an IAD, you’ll want two business bank accounts: one from which to withdraw and settle the vault cash for the ATM and a second one into which surcharge revenue is deposited. 

Accounting software like QuickBooks or Wave can help you to track payments and expenses. Don’t forget to allocate a percentage each quarter to taxes, maybe in a separate tax account.

These best practices simplify bookkeeping and make your business more professional.

How to Pay Yourself as an ATM Business Owner (IADs)

If you operate an ATM business—especially as an IAD—the same principles of paying yourself apply, but the cash flow and accounting setup look a little different.

Your income doesn’t come from invoices or client checks; it comes from surcharge fees. Because of that, how you pay yourself depends on how your business is structured and how you manage those cash flows.

Here is what paying yourself might look like as an IAD:

Separate Business and Personal Cash

Keeping business and personal cash separate is especially critical in an ATM business where literal cash is constantly moving. Maintain a dedicated business bank account for surcharge deposits and vault cash management. 

Never take cash directly from the ATM for personal use because it complicates tracking and may raise red flags with processors or regulators. Instead, transfer your profits electronically into your personal account as your “pay.”

Determine What “Profit” Really Means

In the ATM world, “gross surcharge revenue” isn’t the same as profit. Before paying yourself, you must account for a few deductions. These might include processing/network fees, vault cash replenishment, split commissions with location owners, maintenance costs, insurance, internet/telecommunications, repairs, etc. 

What’s left is your true net business income, and that’s where your pay comes from. Check out our article “Is an ATM Business Profitable: How Much ATM Business Owners Make” for more information about how to calculate ATM business profit.

Build a Predictable Payout System

ATM income can fluctuate with transaction volume, so consistency is key.

You can transfer a fixed amount to yourself each month as base pay, then add quarterly bonuses if profits exceed expectations. Use accounting software to track each ATM’s performance and your total net cash flow. And always leave enough in the business account to replenish vault cash and cover service costs.

Keep Tax and Regulatory Compliance in Mind

Because ATM businesses deal with cash and financial networks, your business draws more scrutiny from banks and regulators. To protect yourself, keep accurate digital records of every transaction and payout. You can do this through remote online monitoring of your machine activity. This service should be offered by the processing company you work with. 

Pay self-employment or payroll taxes on your compensation depending on your structure. If your business has partners or investors, clearly document how profits and distributions are divided. If necessary, consult an accountant experienced with ATM operators. They’ll understand the nuances of reporting surcharge revenue and managing cash float.

How Do You Pay Yourself as a Business Owner: The Bottom Line

Treat your paycheck like any other business expense. The more intentional you are about how and when you pay yourself, the stronger and more sustainable your business will be.

For ATM owners, your business might run on quick access to cash, but your pay shouldn’t. Treat your ATM income like any other small business revenue—run it through your books, pay yourself strategically, and always keep tax and vault funds separate. The result is smoother operations, cleaner records, and sustainable profit for the long run.

Still have questions about how do you pay yourself as a business owner in the ATM industry? Don’t hesitate to contact us at ATMDepot before starting your own ATM business. There’s money to be made—we can help!

First Steps to Creating a Business—ATM-Style

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A quick Google search or AI prompt will provide you with a list of some general first steps to creating a business. These steps might vary slightly based on the type of business you want to start. However, you’ll find that even an ATM business fits the mold when it comes to basic business startup.

In this article, we’ll introduce some of the most basic, general first steps to creating a business and adapt them for the ATM industry. That way, you can see how similar starting an ATM business is to any other business. Then, we’ll cover some specifics that are unique to an ATM business. When it’s all said and done, you’ll know the first steps to take to get into business in the ATM industry.

First Steps to Creating a Business—Adapted for ATMs

Creating a business involves several critical steps to move from an idea to a functioning operation. Here’s a practical breakdown of the first steps for most businesses:

1. Define Your Idea

What’s your product or service? Clearly describe what you’re offering and the problem it solves. 

As an independent ATM deployer (IAD), you’re buying or leasing ATMs, placing them in high-traffic locations, and earning revenue from surcharges users pay per transaction. You offer customers access to their bank accounts. For stores and businesses, you enhance their customer service, increase foot traffic and impulse purchases, save them money on credit card processing fees, and possibly offer an extra revenue stream.

Who is your target customer? Identify your ideal market or audience. 

As an IAD, you’re looking for locations that have a need for ATM service. Small businesses, convenience stores, bars, salons, gas stations, or events without existing ATMs are good places to start.

What is your revenue model? 

As the owner and operator of an ATM machine, your revenue comes from the surcharge fee. This is the transaction fee for using your machine and is typically $2.50–$3.50 per use. You might also possibly profit-share with business owners hosting the machine

2. Conduct Market Research

Who are your competitors? Look at businesses doing similar work and see how yours can stand out. 

For an ATM business, you want to find gaps in the market. Installing an ATM machine in a location that already has convenient access nearby is going to affect your earning potential. If there are other ATMs nearby, you want to offer a competitive surcharge rate to pull more customers from other machines with higher fees. 

When searching for a location to operate your ATM from, you might find that a store or business is already working with an ATM service provider. This can be a good opportunity to discover whether or not they are happy with the service they are receiving. If they aren’t, explain how you can solve that pain point. 

Is there demand?

Find out the potential of a location by scoping out locations in person, having conversations with location owners, and conducting online research. Visiting locations can give you a sense of how busy a location is—the busier the better. Conversations with location owners can reveal their motivations or objections which can tell you a lot about a location’s potential. And online research can provide you with a map of potential competing locations and customer reviews. 

3. Create a Business Plan

A basic business plan should include a summary of what your business is and what it will do. It might also include market analysis, a marketing and sales strategy, organization and management structure, and financial projections like basic budget and expected revenue/costs. 

A simple business plan for an ATM business might look something like this:

  • Start-up costs (ATM purchase/lease, cash to stock the machine, installation, etc.)
  • Monthly operating expenses (maintenance, communication line, armored cash refill if outsourced)
  • Expected transactions per month and projected income
  • Growth strategy (e.g., 3 machines in Year 1, 5+ in Year 2)

4. Choose a Business Structure

There are three common types of business structures: sole proprietorship, limited liability company (LLC), and corporation (C-Corp or S-Corp). All can work for an ATM business, but the most common route is sole proprietorship. 

While a sole proprietorship is simple, there is no legal separation from you and your business. An LLC, on the other hand, protects personal assets. Choose LLC for liability protection, tax flexibility, and to separate your personal and business finances. Finally, corporations are more complex and are more appropriate for large businesses or raising capital.

5. Register Your Business

Choose a business name after checking its availability in your state. Register it with your state government. Apply for an Employer Identification Number (EIN) with the IRS for tax and payroll purposes. 

With a sole proprietorship, you can operate under your own name or a fictitious business name, a DBA—doing business as. You may not need an EIN under a sole proprietorship, but you will if you establish an LLC. Check out Forbes’s side-by-side comparison of the best LLC filing services.

Get required licenses or permits (varies by industry and location). Set up a business bank account. Consider business insurance (especially liability or workers’ comp if hiring). 

For an ATM business, you will need a business bank account. This is where ATM surcharge profits will be deposited and where your vault cash will be settled for you to withdraw to refill the machine. You may have two business bank accounts: one for your surcharge revenue and one for vault cash.

You will also need an ATM processor agreement. This is documentation of your partnership with an ATM processing company that will handle the communication between networks and transactions.

Insurance is optional unless the location owner requires it as part of the placement deal. However, it is a good idea to invest in general liability insurance to protect your equipment and liability.

7. Set Up Operations

Location: Decide whether you’ll operate online, from home, or at a physical location.

Website: Create a basic site or landing page.

Systems: Pick tools for accounting, invoicing, communication, etc. 

With an ATM, you will probably operate out of someone else’s store, business, or other location. However, you can also rent a space in a shopping center or similar area. 

There are many ways to establish an online presence as an ATM business owner. This can be a good way to get location owners coming to you to set up placements which saves you the time spent approaching them. You can create a website if you want, but sometimes a simple social media page can be effective. 

You can also get a custom web page designed and featured on an already high-ranking website in, say, an “ATM providers near me” web directory. Borrow their search engine optimization to increase your own visibility, credibility, and lead generation.

And tools and resources you can use to help manage your finances, track profits, and record expenses include accounting software tools like QuickBooks, Wave, or Xero. You will also have access to remote online monitoring that offers reporting tools you can use to monitor transaction reports for performance insights.

Unique First Steps to Creating a Business in the ATM Industry

There are some general first steps to creating a business. These apply to almost any business, ATMs not excluded. We’ve adapted them for your convenience so that you know exactly how to apply each step to starting an ATM business. Now, it’s time to get into some specifics those basic first steps to creating a business didn’t cover:

1. Purchase Your ATM(s)

To operate an ATM business, you need to purchase the equipment. You can buy new or refurbished machines (costs range $2,000–$4,000 each). Make sure you choose EMV-compliant and ADA-compliant models that support remote monitoring and cash alerts.

2. Secure Locations and Contracts

Most IADs secure locations and contracts with existing businesses. Approach business owners and offer free machine installation and maintenance for a monthly rent (flat fee) or revenue-sharing (e.g., 30% of fees). Be sure to draft, agree on, and sign a placement agreement with each location that outlines the responsibilities of each party.

3. Stock and Monitor Your Machines

You can load cash yourself to save on armored truck service. While this adds another $2,000 or so to your startup budget, it is typically more cost effective in the long run. Install remote monitoring software to track cash levels, errors, and transactions. That way, you can manage your business off-site.

3. Market and Scale

Create a simple web page to establish credibility, generate leads, and open lines of communication. Create business cards and/or flyers to leave with  more locations and leads. Consider adding more ATMs to your route as your revenue grows.

Now You Know the First Steps to Creating a Business ATM-Style

Now that you know the first steps to creating a business in the ATM industry, you can decide for yourself whether or not it’s really for you. If you’re still on the fence, remember that an ATM business offers benefits most other businesses do not: low overhead, little to no real estate costs, no employees, flexibility, and simplicity. What other job can you think of that makes you money while you’re doing something else altogether?

If you have questions or want to know more about the first steps to creating a business in the ATM industry, contact us today! With decades of experience, ATMDepot has worked with thousands of IADs just like you. It’s our mission to help anyone earn semi-passive income from operating ATM machines.

Are ATMs Always Open? How to Operate an ATM 24/7

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If you are thinking about starting an ATM business, you might be wondering, Are ATMs always open? The short answer is, Yes and no. You see, each ATM business is different. So, some ATMs are always open—others are not. 

If you want to make money with ATM machines, it is possible to operate an ATM 24/7. Here, we’ll provide an overview of what various business models look like. That way, you can decide for yourself how to proceed with your ATM business.

Are ATMs Always Open?—Not Always

Not all ATMs are always open. For instance, if you’ve ever passed by a store with an illuminated “ATM” sign whose doors were locked, you’ve experienced an ATM that was not open. 

Independent ATM deployers (IADs) have about three options when it comes to installing their ATM machine. They can install it in a business or store front they already own. They can rent space in a mall or plaza to operate their ATM from. Or, they can work in collaboration with an existing store or business that agrees to the installation in exchange for boosted customer service and sales.

So in that respect, an ATM’s availability depends on the location itself. If an ATM machine is installed behind the locked doors of another store or business, that ATM machine is not open 24/7—because customers can’t get to it to use it.

Then there are outdoor ATM machines. For example, ATM machines operated out of parking lots/garages, food truck parks, outlet malls and plazas, and the fronts of convenience stores can offer passers-by 24/7 access to cash and their accounts. However, just because an ATM is accessible doesn’t mean it is functional. An outdoor ATM machine still has to be connected to the networks, has to be stocked with cash, and has to not be out of order to be considered open 24/7.

Are ATMs Always Open?—They Can Be

If you want to operate ATMs 24/7, it’s totally possible. There are simply certain conditions that must be met.

24/7 Location

Although ATMs are technically designed to operate 24/7, the question of are ATMs always open depends on a number of other factors. Namely, it’s up to the owner/operator. If you want to operate your ATM 24/7, you have to find a location that facilitates that.

You can operate an ATM machine 24/7 if it is always physically accessible to customers. For example, you might install your machine in an outdoor location, through the wall of a store facing the street, or just inside the doors of a store that is also open 24/7.

ATMs are designed to operate without human supervision. They include secure cash dispensing and deposit mechanisms, card readers, PIN pads, and network connections to banks and processors. Modern ATMs have features like anti-skimming, surveillance cameras, and internal safes to operate securely 24/7. Basically, you don’t have to sit on site with your ATM to operate your ATM business.

Instead, you can use remote online monitoring to manage your machine. This management system allows you to track cash levels, detect malfunctions or tampering, and receive real-time alerts for any error codes.

Reliable Internet Connection

To operate your ATM 24/7, it needs to be reliably connected to the banking networks (Visa/Plus, Mastercard/Cirrus). This enables ATMs to validate transactions at any time, regardless of location or banking hours. So 24/7 operation requires secure internet connection. If your machine loses internet connection, it will be inoperable until it is reconnected. Until then, you’re out of business.

Little to No Downtime 

In order for your machine to always be open, it has to always be working. This means that if you want to operate your machine 24/7, there has to be no downtime. Your machine will require regular servicing like cash replenishment, error codes, and other preventative maintenance like cleaning and software updates.

Where Are ATMs Always Open? The Best 24/7 Locations

We’ve said a few times that 24/7 ATM operation depends on the location of the installation. But what are your options? If you are looking for a location that facilitates 24/7 ATM operation, you’ll need to find a location like one of the following:

Convenience Stores, Truck Stops, Gas Stations

Convenience stores, truck stops, and gas stations are at the top of the list. They’re often open 24/7, ensuring around-the-clock ATM access. They experience steady customer traffic, especially during off-hours.

Furthermore, these customers have a need for cash. Customers in these locations often make cash-based purchases and therefore have a high tendency of withdrawing cash to shop. 

Finally, indoor placement offers weather protection and enhanced security. It’s better to operate a 24/7 ATM indoors when possible for these reasons.

Hotels and Motels

Guests of hotels and motels (especially budget chains) often need quick access to cash for tips, transport, or nearby restaurants. Lobby ATMs benefit from indoor, secure placement, and front desk staff can monitor the machine and inform guests about the ATM, increasing usage.

Transportation Hubs

Transportation hubs like airports and bus or train stations are also good places to target travelers in need of cash. These locations often experience round-the-clock foot traffic, and the presence of security can deter theft and vandalism.

Liquor Stores and Smoke Shops

Liquor stores and smoke shops are businesses that prefer cash transactions. Customers who want their bad habits to go unnoticed tend to prefer spending cash in these locations, too. This increases the need for cash in these 24/7 locations making ATM service a lucrative opportunity on top of the added benefits of indoor operation.

Laundromats

Laundromats can make good locations, too, due to the need for cash to operate the machines. It is also easier to find gaps in the market—in a laundromat, there’s usually low competition for ATM services nearby.

Bars and Nightclubs

There is high cash usage for drinks, tips, and cover charges at bars and nightclubs. Plus, late-night crowds rely on ATM access when banks are closed. Even if the bar isn’t open 24/7, late-night operation equals strong transaction volume despite being open fewer hours than other locations.

Remember, the best 24/7 locations for ATM installation have high, consistent foot traffic, security, accessibility, and low downtime risk.

Are ATMs Always Open—Yes and No

When it comes to the question of are ATMs always open, the answer really depends on the owner and the location. An ATM cannot operate 24/7 if the owner does not want it to. It also cannot operate 24/7 if it is locked up in a store after hours and therefore inaccessible to customers. 

So, the bottom line is: if you don’t want to be on-call 24/7, don’t make your ATM machine operable after hours. However, if you want to maximize your revenue potential, think about investing in a 24/7 ATM machine that is always open for transactions. 

At the end of the day, the more time your machine is available, the more customers have an opportunity to use it, and the more potential you have to make money. If you’d like to know more about how to own ATMs that are always open, contact us today!

How to Become an ATM Owner Operator

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Want to become an ATM owner operator and earn semi-passive income? Well there is more than one way to do it. And that’s great news. It means you’ve got options. This article will cover a few avenues that can get you a semi-passive income stream. Consider your situation, your resources, and your goals to determine which path to ATM ownership is right for you.

What Is an ATM Owner Operator?

“Owner” and “operator” are two distinct terms in the ATM industry. You can be one or the other or both. Here’s what each role looks like:

The ATM owner decides who shares in the revenue. This might include the equipment owner, the location owner, a referrer, a partner, a cash vaulter, etc. The ATM owner completes a payee form with a processing company, like ATMDepot. This tells them how much to deposit into whose account.

The ATM operator is typically the person who is responsible for loading it with cash (also known as the ATM vaulter). They are also responsible for handling any service issues, balancing of funds, and maintaining the relationship with the location.

The terms “ATM owner” and “ATM operator” are sometimes used interchangeably. That’s because oftentimes individuals will purchase equipment that they plan on installing and managing day-to-day. So sometimes the owner and operator are one in the same individual. However, there are situations where an ATM business owner, group of individuals, or a company own the actual ATM while someone else manages the day-to-day operations.

Keep reading to find out what each of these situations might look like.

How to Become an ATM Owner Operator as a Business Owner

If you are already a business owner and have a physical store, restaurant, salon, etc., you can become an ATM owner operator on top of that. You might find that having an ATM on site can encourage more cash transactions, impulse purchases, and tips. An ATM machine can improve customer service by offering this extra convenience. And, on top of that, you make surcharge revenue with minimal effort.

There are two routes to getting an ATM machine in your business: buy an ATM machine or get a free ATM placement.

Buying an ATM Machine

If you want to be a true ATM owner operator, you need to purchase your own machine and bear responsibility for its operation. Our ATM Start-Up Kit provides you with information about our ATM processing program, pricing and brochures for our best-selling machines, the paperwork to ensure your compliance with operating the ATM, and a bonus ATM Business Start Guide to help walk you through the paperwork and documentation.

Review the kit, send us your completed paperwork, and you’ll be ready to place your order for your very own ATM machine. It can be delivered to your business, you can install it yourself or hire a technician, and once it’s got power and connection to all networks, you’re in the ATM business! Sit back and start earning revenue from the surcharge fee that you determine.

Free ATM Placement

The free ATM placement program offers you all the benefits of having an ATM machine on site without all of the responsibility. Once you send in your ATM Placement Request, ATMDepot will search our repertoire of well-established and certified independent ATM deployers (IADs) for a representative of ours in your area. Then, once we find one, we put you in touch.

The IAD will be able to place an ATM in your store for free. In addition, they will assist you with whatever ATM services you’d like provided. This might include filling the machine with cash and/or maintaining updates and cleanliness. You will work together to draft an agreement that stipulates the responsibilities of each party and the corresponding surcharge share.

As a store owner, you have to decide how much time you’re willing to put into an ATM machine at your establishment. Are you willing to fill it with cash? Will you be able to take time out of running your business to fix an ATM error if one occurs? Do you have time to keep the machine cleaned? Are you willing to keep it up-to-date with the latest software?

If you are equipped and prepared to take on the responsibility of owning and operating an ATM machine from your store, you can reap the many benefits including the entirety of the surcharge revenue. If you decide that you want an ATM on site but don’t want to commit to the work of operating it, you can find an IAD who will take care of the parts of the operation you don’t want to do for a share of the surcharge revenue.

Independent ATM Deployers (IADs)

IADs are typically sole proprietors who purchase, place, and may or may not operate ATM machines. As an IAD, you get to choose which parts of the business you like and which you don’t.

For example, you can purchase ATM equipment, find a location to place it in, install it, maintain it, stock it with cash, and enjoy the surcharge revenue (which you set) as compensation for your hard work.

Or, you can hire out any of those tasks to someone else for a fee or share of the surcharge revenue. In most cases, IADs identify a location that has a need for ATM service, approach the location owner to discuss placement options, and upon agreement the two parties work together to establish a contract that outlines the responsibilities, surcharge share, and other specifics pertaining to the shared interest.

There are three main routes to becoming an IAD: purchase and place equipment yourself, purchase established routes, or get matched with and take over an existing location.

Purchase and Place Equipment Yourself

This route is the most common and pretty much looks like the example above. You don’t need anyone’s permission to purchase an ATM machine. However, getting it up and running takes some paperwork and documentation.

As long as you pass a background check, get the appropriate bank account set up, and find a location that wants an ATM machine on site, you can install and operate that machine that you bought and own.

You determine (sometimes with the help of the location owner) the surcharge fee. You earn the revenue minus any share you might have negotiated for the placement. And, of course, you can handle the cash needs and vaulting, or you can pay someone else to. It is your machine and you can operate it however you see fit in mutual agreement with the location owner.

Purchase Established Routes

Sometimes, entire established routes will come up for sale. This means that someone else has placed machines in a number of locations and no longer wants to operate them.

You can find ATM routes for sale with a simple internet search. Search “ATM routes for sale + zip code” or expand your search to include a whole city. It just depends on how far you are willing to travel. You can also sometimes find routes in ATM Facebook groups and communities.

The good thing about purchasing an established route is that you don’t have to spend time negotiating locations. The machines are already installed and operating, too, so there is little to no downtime when taking over control. However, this avenue requires a lot more startup capital. You need enough to cover the cost of the equipment and the cash to vault all machines on the route.

Take Over a Single Location

Businesses that want an ATM machine on site can own and operate their own or participate in an ATM placement program. The placement program pairs businesses with an IAD in their area who can take over operation of the location’s existing machine or who owns and operates their own.

So instead of researching, contacting, and pitching location owners on the prospect of an ATM placement, in some cases the locations come to you.

If you are in Facebook business groups and communities, you might come across these opportunities. ATMDepot, for example, shares opportunities on our Facebook page when an ATM owner expresses their need for an ATM operator.

If you see “ATM Operator Needed,” for example, check the city and state to ensure the opportunity is local. The ad will include the type of location (convenience store, adult store, smoke shop, etc.), the duties required, and contact information for expressing your interest.

Getting Started as an ATM Owner Operator

Regardless of which path you choose, you will want to learn everything there is to know about owning and operating an ATM machine before you get started. The knowledge you have over another ATM owner could be the reason a location owner chooses to work with you over someone else. We have a list of resources to help you get started:

ATM Machine Business Start-Up PDF

First is a free PDF about the ATM machine business. This 17-page ATM Machine Business Start-Up PDF is an informative document for those entering the ATM machine industry.

How to Start and Grown an ATM Business: The Ultimate Side Hustle

Second, How to Start and Grow an ATM Business: The Ultimate Side Hustle is ATMDepot.com CEO Noah Wieder’s latest updated version of his original best-selling ATM business book on Amazon, The Amazing Money Machine. It is an intricately detailed description of how to profit from an ATM business.

ATMDepot.com Member’s Area

A third resource is the ATMDepot.com Member’s Area. This online Member’s Area features time-saving documents, informative audio, and helpful how-to and other videos that teach, support, and help you grow your ATM business. Get access to sales scripts, videos, and an editable sample ATM Business Contract.

Here, you can find information on how the business works, what to do when your first ATM arrives, and time-saving tips on how to speak with merchants and acquire locations. The ATMDepot Member’s Area includes many more resources to assist you. We just launched the Member’s Area Pro which features a comprehensive 9-step training system to help you get started on your ATM business journey. If you’re really serious about starting an ATM business, our Member’s Area is for you.

ATM Business Facebook Groups

Finally, join the ATM Business Entrepreneurs Facebook group and/or the ATM Depot-ATM Business HQ group. In the group, we post educational content and tips about the ATM business. Join today for free inside information, free camaraderie, and free networking.

Are You ATM Owner Operator Material?

Now you know what the path to becoming an ATM owner operator can look like. Hopefully, you also have an idea about which path to pursue. Consider the potential opportunities in your area, your budget, and your overall goals to help direct you. Do your research, purchase your equipment, and get in business! Becoming an ATM owner operator is as simple as that.

If you still have questions, don’t hesitate to contact us here or on Facebook! We’re happy to welcome you to the ATM owner operator community.

Does Cash App Charge ATM Fees?

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With over 50 million users, Cash App is one of the most popular mobile payment apps. It allows users to send money, make payments, and invest. It’s especially popular with lower-income adults and young people, making ATM fees an important consideration for users on a tight budget. 

You can use a Cash App Cash Card at an ATM. But since it’s not tied to a bank account, you might be interested to know how this affects ATM fees: does Cash App charge ATM fees? Keep reading to find out more about how to use Cash App with ATMs.

ATM Fees Explained

Generally, when you use your debit card at an ATM, you will be charged two fees: one by your bank and one by the ATM owner. If you use an in-network ATM, you are only charged one fee since your bank owns that ATM. 

Some banks offer different fee structures and waive certain fees as a benefit of purchasing certain accounts. Check with your bank for more information on ATM fees for your account.

Cash App isn’t a bank, though. So does Cash App charge ATM fees?

Does Cash App Charge ATM Fees?

According to Cash App support, you can use your Cash Card at any ATM for a $2.50 fee. You will also pay any out-of-network fees charged by the ATM operator. This is similar to how your bank might charge for debit ATM withdrawals from out-of-network ATMs. Cash App is the “bank”, and you will still pay the surcharge fee imposed by the ATM itself. 

However, Cash App offers ATM benefits if you set up direct deposit. Customers who get $300 (or more) in paychecks directly deposited into their Cash App in a given calendar month qualify for unlimited free withdrawals at in-network ATMs. One out-of-network withdrawal per 31 days will also be instantly reimbursed. Each time you receive another $300 (or more) in paycheck direct deposits in a given month, free withdrawals will be extended for an additional 31 days.

But what ATMs are considered in-network for Cash App? 

Cash App primarily uses the AllPoint ATM Network. ATMs within this network are referred to as its in-network ATMs. AllPoint ATMs are commonly found at gas stations, convenience stores, and retail stores like Target, CVS, and Walgreens. Cash App has also partnered with 7-Eleven to provide free ATM withdrawals at select locations.

While not officially confirmed, experts believe that Cash App has partnered with several ATM networks to offer free withdrawals at select locations. And most commercial banks in the US (banks that have consolidated assets of at least $300 million), including major institutions like Chase, Bank of America, Wells Fargo, and US Bank, allow Cash App users to withdraw funds for free. 

How to Find In-Network Cash Card ATMs

ATMs with fee-free Cash Card withdrawals will be branded with the Cash App or MoneyPass logo. But there are a few ways you can search for in-network Cash Card ATMs, too.

First, you can search by network. For example, if you know ATMs that connect to the AllPoint ATM network offer free withdrawals, you can search for AllPoint ATMs near you. Or, if you know that Cash Card withdrawals are free at certain commercial banks, you can search by bank name for ATMs near you. 

But the easiest way is to simply check within the Cash App itself. By using the “Find an ATM” option within the Cash App, you can quickly identify in-network ATMs and avoid unnecessary fees. Just open the app, select the Cash Card icon, and click “Find an ATM”. 

Before getting started, you will be informed that you can withdraw from any ATM in the world and pay lower fees at the ATMs listed on their map. It also explains that all in-network withdrawal fees and 1 out-of-network withdrawal fee each month you direct deposit $300+ will be instantly reimbursed.

Once you allow Cash App to use your location, icons will appear on your map indicating locations with in-network ATM machines. Clicking an icon will provide you with the associated fees for using that ATM. Keep in mind that you will still be charged $2.50 unless you receive direct deposits to your Cash App. 

Why Does Cash App Charge ATM Fees?

Cash App isn’t a bank, so why does Cash App charge ATM fees? Well just like a bank, Cash App incurs costs to process transactions, which are passed on to users in the form of fees. Cash App has to pay fees to connect your card to the processing networks. This is how communication takes place to let the ATM machine “know” that you have funds available to withdraw. In most cases, this fee is passed on to the card user.

How Does a Cash App Card Compare to a Debit Card?

A Cash App Card is similar to a debit card in that it is linked to an account balance and you can use it for purchases, ATM withdrawals, and direct deposit. 

Cash App does not require a traditional bank account which makes it particularly convenient for low-income individuals and young adults. Plus, there are no overdraft fees; with a Cash App account, you can only spend what’s available. However, debit cards from banks typically offer stronger fraud protections and customer service than Cash App.

ATM fees and withdrawal limits differ as well. While ATM fees vary by bank, Cash App charges $2.50. Traditional debit card withdrawal limits generally range from $300 to $1,500 per day, depending on the bank and account type. Cash App withdrawal limits include $1,000 per transaction, $1,000 per 24 hours, and $1,000 per 7-day period.

Use a debit card if you need full banking services, direct deposits, bill pay, and higher security. Use a Cash App Card if you mainly use Cash App, want a simple spending option, and don’t need a full bank account. A traditional debit card is better if your bank offers free in-network ATMs or fee reimbursements. A Cash App Card might be preferred if you receive $300+ in direct deposits monthly to get ATM fees reimbursed.

How Does Cash App Charge ATM Fees Affect Independent ATM Owners?

Are you an independent ATM owner? Don’t worry. Fee reimbursement from Cash App (or any bank) does not directly impact independent ATM owners.

ATM operators still charge their fees. Independent ATM owners make money by charging users a surcharge fee (usually $2–$5 per transaction). Even if Cash App reimburses the user, the ATM owner still receives their fee as usual.

Cash App covers the cost for the user. When Cash App reimburses ATM fees, they credit the user’s Cash App balance after the transaction. The user still pays the fee upfront, but Cash App later refunds them, meaning the ATM owner gets paid regardless.

There is no loss to ATM owners. Unlike some bank networks that negotiate lower fees for their customers, Cash App’s reimbursement doesn’t affect what ATM owners receive. The reimbursement comes from Cash App’s funds, not the ATM operator’s earnings.

So, independent ATM owners still profit from fees, regardless of whether a user’s bank or app reimburses them later. 

Conclusion

So, does Cash App charge ATM fees? Yes. Are there ways to minimize them? Also yes.

If you have a traditional bank account and convenient access to in-network ATM machines, take advantage of fee free withdrawals with your debit card. But if you find yourself far from an ATM that is within your bank’s network, it might be easier and cheaper to find an ATM within Cash App’s network. If you don’t have a traditional bank account at all, take steps to minimize Cash App ATM withdrawal fees by using in-network ATMs and setting up direct deposit.

Interested in making money with ATM machines? Get your free ATM start-up kit today!