Yes set every staff to $7, and 0% reserve. It's possible to start out the game without reducing staff pay, but it will be hard to turn a profit. Ignore the staff mood, it's only really useful for reputation.
Another useful tip is to order aircraft from the same family while starting out, as they will share the same base maintenance cost (under Airline Finance --> Aircraft Maintenance).
Staff payments are on the 16th of every month, and all other fees on the 1st. Each month has 24 days.