How to calculate stylist commission at your salon
Commission only or salary plus commission, before or after discounts, products and services: a clear way to pay stylists, with worked examples in rupees.
Commission is the most common cause of arguments in a salon. Almost always, the problem is not the rate. It is that nobody wrote down exactly what the rate is a percentage of. Settle that once, write it down, and pay day gets quiet.
1. Choose the pay model
Commission only. The stylist earns a percentage of what they bring in and no fixed salary. It suits experienced stylists with their own clients, and it costs the salon nothing on a slow day.
Salary plus commission. A smaller fixed salary plus a lower percentage. It suits juniors and assistants, and it helps you keep good people through slow months.
You can use different models for different people. What matters is that each stylist knows which one they are on.
2. Decide what the percentage is taken from
Write down the answer to each of these:
- Before or after discount? If the owner gives a 20% discount, should the stylist lose part of their commission? Most salons pay commission on the amount the client actually paid. That is simple and fair, as long as stylists cannot give discounts themselves.
- Services only, or products too? Many salons pay a lower rate on products than on services, or none on products.
- Refunds. If a service is refunded, the commission on it is reversed.
3. A worked example
Sana is on salary plus commission: Rs 30,000 a month plus 15% of the services she does, after discount. This month she did:
| Service | Price | Discount | Paid |
|---|---|---|---|
| Bridal makeup | Rs 60,000 | Rs 6,000 | Rs 54,000 |
| Party makeup (x6) | Rs 48,000 | – | Rs 48,000 |
| Hair treatments (x10) | Rs 45,000 | Rs 3,000 | Rs 42,000 |
| Total | Rs 153,000 | Rs 9,000 | Rs 144,000 |
Commission is 15% of Rs 144,000, which is Rs 21,600. Her pay for the month is Rs 30,000 + Rs 21,600 = Rs 51,600.
4. Make it visible during the month
Disputes happen when the stylist's own tally and the owner's sheet disagree at the end of the month. The fix is to let stylists see their own numbers as they go, from the same bills the front desk rings up, so there is only one set of figures.
How StyleDesk handles it
In StyleDesk you set each stylist's pay model and commission rate once. Every bill records which stylist did which service, so commission is worked out as the bill is paid, and refunds reverse it automatically. Stylists see their own earnings in the app and the owner sees everyone's in the staff performance report. Commission tracking is part of the Pro and Business plans.