You are correct about the multiplication, I forgot to multiply by two classrooms, but let's keep my other assumptions. Start with $600k. Subtract $100k for insurance, rent, and overhead. (And I think $100k is a low estimate here.) Now you have $500k and 5 employees. That's still $100k in total compensation per employee. It's not dire poverty like my $40k estimate before, but keep in mind that that's still a good deal more than their gross pay, which will come in more like $60-80k once benefits are accounted for. In the kind of area that can support a $15k/student/year Montessori school, that kind of pay is basically decent, but it's not like they're laughing all the way to the bank.