Employ, rent the chair or pay commission? The numbers for the salon owner and the stylist
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Every salon owner faces the same question sooner or later: should this stylist be on the payroll, rent a chair, or work on commission? Each choice changes your profit, your VAT bill, your paperwork and your risk if HMRC decides a 'self-employed' stylist is really an employee. This workbook puts real numbers on every chair in your salon – up to 12 – under all three arrangements, shows what the whole salon makes, and shows the stylist's side of the deal too, so conversations about rent and pay are based on facts rather than hunches.
See how it works
The sheets you will use most, in the order you will use them – shown with the sample data every workbook comes with.
Step 1
The heart of the workbook – one line per chair with the terms for each arrangement. What you do: enter the yellow columns for every chair you use.
Step 2
Every chair's profit three ways, side by side, with the comparison and break-even rent. What you do: nothing to enter – read it.
Step 3
One stylist's take-home pay employed vs renting, and a chart across takings levels. What you do: pick a stylist and adjust the renter's costs.
Step 4
Whole-salon income, costs and profit for the current mix and three 'all one model' scenarios. What you do: nothing to enter.
Who it is for
Quick start
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Part of AML Finance Group
Our sister firm, AML Accountancy Solutions, is an award-winning accountancy practice helping businesses and individuals across the UK with their accounts, tax, bookkeeping and payroll.
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