Well either way she'd definitely get to earn her way up to regular salon pricing. I think it'll be easier to just set different prices for my underlings and give them raises as their skills improve... I think I'm a Bond villain building my empire-- I already have minions. This is my first official henchman. When do I get the awesome, island lair?
Maggie Franklin: Owner & Artist, The Art of Nailz, Visalia CA "Visionary rebel dreamer; obviously way ahead of my time." Maggie Rants [and Raves]@Nails Magazine Facebook >________________________________ > From: Karen Hodges <keyzka...@bellsouth.net> >To: nailtech@googlegroups.com >Sent: Friday, March 14, 2014 1:26 PM >Subject: RE: NailTech:: My First Henchman > > > >Tracy and Ami at Profiles have “Tech” and “Senior Tech” prices on all the >services. It works for them….the techs have the ability to upgrade their >levels. The clients aren’t paying for premium services yet getting a newer >tech’s work. Set some criteria she’d need to meet…and let her work toward >that. Let all the clients know that at some point she will be getting promoted >and charging more (so there won’t be AS MUCH whining when she ups the prices, >later.) > >Another idea….could be setting a price that is discounted from yours….but I’m >liking the idea of her earning her way up. >K > >From:nailtech@googlegroups.com [mailto:nailtech@googlegroups.com] On Behalf Of >Maggie in Visalia >Sent: Friday, March 14, 2014 4:01 PM >To: nailtech@googlegroups.com >Subject: Re: NailTech:: My First Henchman > >Ok-- > >I'm "almost" excited about an employee. Still mostly scared. > >I'd originally been in the preparation phase of taking on an employee sometime >NEXT year, but it makes me sick having to turn away so much business and I >happen to know someone who I have faith in who recently got her license and is >available now...so now it is. > >My original plan was to offer hourly plus commission. But offering someone an >hourly wage requires KNOWING-- being absolutely, 110% SURE-- that I have the >money to make that payroll. Which will require (embarassed throat clearing) me >paying off some of my bills to free up some of my money in order to make sure >it's there on times when business wasn't. Because we all know that just >because I'm turning people down every day NOW, in a couple of months I'll be >whining about the tumbleweeds blowing through the hallway:-) > >So the immediate plan is straight commission. I've been asking around and >combing the Internets and it looks like our biz DOES fall into the exemption >in California and straight commission is acceptable. > >A booth renter would pay me $125 a week-- our local going rate being about >$100. I'd charge a premium booth rent rate because I have a premium location >and, hey! Let's face it, you get to work with ME! Who wouldn't pay extra for >that? Right? LOL. > >So my goal is for my profit to meet-- exceed-- $125/week from an employee. I >like that commission will give ME an opportunity to make greater profits too, >which is an incentive FOR ME to give up the peace and quiet and share my space. > >I agree with Karen, it looks like the costs of having an employee will be >about 12% of their pay. But I'm swining wide on my math and figuring 20%. >Which should fill in any gaps in taxes and fees that are lurking out there to >surprise me, and should also balance the fractional increases in cost of >business-- for instance, I will have to upgrade my online booking system to a >higher level to allow for more than one operator :-( > >Retail is a non-issue. I don't do enough of it for it to be an incentive at >any level. > >My current thoughts are: >50/50 for $1-$499 >60/40 for $500-$999 >70/30 for 1000+ > >At that rate, the 70/30 split would still put $160 in my pocket. I feel that's >pretty fair. And I know that if I was on commission and made $1000 in one week >for my employer, I'd be pretty disgruntled at only getting $500 of it. > >The purpose of having an employee is not to run them hard and put them away >wet, make them feel used and end up with high employee turn over. > >What I would need to make from each employee would/will be different depending >on my costs of doing business and the costs of having employees: if I offer >insurances, paid vacations, other bonuses, etc-- I'd need to re-evaluate. And >that's certainly something I have in the back of my mind as the future >warrants. > >Now-- aside from discussion about pay structure and cost of employees, here's >another thought I'm wrestling with: > >I've been doing nails for 22 years. My prices are still just on the high end >of average for my area. But, the gal I'm hiring is new. She got her license >last fall. This will be her first salon job. > >I don't think she should be charging the same for services that I do. What's >the best way to set up a different service cost for a new tech? Do I set >completely different prices for every service if done by her? or do I use the >same pricing but with a discount? > >For instance, if a new set is $60, would her new set be $40? or would it be >$60 at 25% off? And what sort of time table should I set up for getting her to >the same prices as I charge? > > > > > > > > > >Maggie Franklin: >Owner & Artist, The Art of Nailz, Visalia CA > "Visionary rebel dreamer; obviously way ahead of my time." >Maggie Rants [and Raves]@Nails Magazine >Facebook > >>From:Karen Hodges <keyzka...@bellsouth.net> >>To: nailtech@googlegroups.com >>Sent: Friday, March 14, 2014 8:33 AM >>Subject: RE: NailTech:: My First Henchman >> >>Pretty much what Pam said. >> >>I think payroll taxes will be less than 15%. Here’s a link that was the most >>comprehensive update for 2014 that I found of all the employer’s obligations. >> Remember Unemployment taxes (Federal and State) have ceilings…you only pay >>on so-many thousands of their wages. >>http://www.ey.com/Publication/vwLUAssets/EY-US_Employment_Tax_Rates_and_Limits_for_2014/$FILE/EY-Payroll-Perspectives-Nov >> >>I definitely believe in sliding scales based upon performance. Retail in the >>nail industry is notoriously small---a few bottles of cuticle oil and lotion >>seem to be typical. 10% of 6 bucks is not a great incentive. But if you have >>extensive inventory…gifts and accessories, skin care, hair care, etc, then I >>would make it 10% on the first $50 per month, 12% on the next, %15…and so >>forth. I would not pay more than 25%....because there are so many factors: >>shipping, the cost of pricing and shelving (somebody’s time was used), >>degradation of product that sits and must be trashed, shrinkage (pulled from >>shelf and used in a service and forgot to reimburse…or walked out!), etc. >> >>As for commission….I personally believe that IF this person is an >>employee…and I am the employer…I should supply the products and pay a lesser >>commish to start. If it’s a newbie and I am having to train and oversee her >>work, make it right when there are goofs, etc…..40%....maybe for a >>probationary time 60 days….and an evaluation….and if there’s progress, a >>raise. Once it’s established this employee is fully functional, she can work >>toward a goal each week….once her gross service income is somewhat stable at >>a certain level, (eg. If 3 weeks out of a month she hits her goals for 3 >>months) then she gets another raise…and a higher standard to work toward. I >>think this should be laid out and measurable and obtainable. Making the >>percentage a whim of the owner is not motivating. >> >>I think the max should be 60% for a senior tech who needs no supervision…and >>once her weekly goals are stable at that level, give her the chance to booth >>rent. >> >>I never liked having a ceiling on what I could make. I worked for one day spa >>bringing in 1200-1500 per week but I could only make $700? I didn’t feel >>the product costs and overhead for my work were anywhere near $400-$700 per >>week they were making off the sweat of my back. >> >>I believe in writing things out…having a policy book. When there are >>questions that come up…”What does the policy book say?” I believe you should >>enforce the policies evenly. Always. >> >>And don’t worry about hiring a Mini Me…..it’s good to have different >>personalities that can mesh. Some people will float to her, and some will >>float from her to you. I think you should make it clear from the beginning >>that clients are free to shift between you. You should make it a point of >>letting that happen….have her do your repairs…you do hers…so clients get used >>to either of you. Yes, Magz…you will have die hards that would rather walk on >>their lips than give up their appointments with you…but there will be some >>that will be relieved that there is now a little breathing room in the >>scheduling…and they will still get to be in your sublime presence! >> >>Hit us up with your questions…you know we’ve got your back! >> >>Karen >> >> >> >>From:nailtech@googlegroups.com [mailto:nailtech@googlegroups.com] On Behalf >>Of Maggie in Visalia >>Sent: Friday, March 14, 2014 1:05 AM >>To: 1Nail Tech list >>Subject: NailTech:: My First Henchman >> >>So it looks (gulp) like I've hired an employee. >> >>HELP!!!! >> >>What am I doing? >> >>I was planning on doing this about a year from now, but as it currently >>stands I have absolutely zero openings after 5 p.m. FOREVER-- until somebody >>quits or dies. I'm turning away business daily and that doesn't include how >>many people may be unable to book online that I never even know about. >> >>It's time. >> >>I'm kinda, sorta aware of how much an employee will cost me in the way of >>payroll taxes, disability, unemployment, worker's comp, etc, etc, and so on. >>I'm guestimating about 20% of what I pay the employee. All current research >>indicates it should be closer to 15%. ???? >> >>Our profession seems to fall into the exemption area for paying straight >>commission. I'd like to be able to pay her hourly, but that's not going to >>happen just yet. So I've been trying to work on a sliding scale commission >>structure from 50/50 to 60/40 to 70/30. >> >>Now. I know there are some of y'all out there who've been down the employee >>path... I need information. I need guidance. I need comfort. I need a stiff >>drink. >> >>What am I getting myself into? What am I not paying attention to? What's >>going to bite me in the butt later? What am I missing? >> >>Mostly-- can anyone help me with my commission structure? My goal is to make >>this (eventually) more profitable than renting the booth out at the going >>rate of $100-$125 a week. Naturally-- that won't happen till my new henchman >>is more established. I'm not JUST about the money, I want to groom a good >>nail tech who will be a valuable asset to not just my own salon, but our >>industry through out her future as a tech. >> >>But dang! If this isn't just scary as all heck. >> >>Maggie Franklin: >>Owner & Artist, The Art of Nailz, Visalia CA >> "Visionary rebel dreamer; obviously way ahead of my time." >>Maggie Rants [and Raves]@Nails Magazine >>Facebook >>-- >>You received this message because you are subscribed to the Google Groups >>"NailTech" group. >>To unsubscribe from this group and stop receiving emails from it, send an >>email to nailtech+unsubscr...@googlegroups.com. >>To post to this group, send email to nailtech@googlegroups.com. >>Visit this group at http://groups.google.com/group/nailtech. >>For more options, visit https://groups.google.com/d/optout. >>-- >>You received this message because you are subscribed to the Google Groups >>"NailTech" group. >>To unsubscribe from this group and stop receiving emails from it, send an >>email to nailtech+unsubscr...@googlegroups.com. >>To post to this group, send email to nailtech@googlegroups.com. >>Visit this group at http://groups.google.com/group/nailtech. >>For more options, visit https://groups.google.com/d/optout. >> >-- >You received this message because you are subscribed to the Google Groups >"NailTech" group. >To unsubscribe from this group and stop receiving emails from it, send an >email to nailtech+unsubscr...@googlegroups.com. >To post to this group, send email to nailtech@googlegroups.com. >Visit this group at http://groups.google.com/group/nailtech. >For more options, visit https://groups.google.com/d/optout. >-- >You received this message because you are subscribed to the Google Groups >"NailTech" group. >To unsubscribe from this group and stop receiving emails from it, send an >email to nailtech+unsubscr...@googlegroups.com. >To post to this group, send email to nailtech@googlegroups.com. >Visit this group at http://groups.google.com/group/nailtech. >For more options, visit https://groups.google.com/d/optout. > > > -- You received this message because you are subscribed to the Google Groups "NailTech" group. To unsubscribe from this group and stop receiving emails from it, send an email to nailtech+unsubscr...@googlegroups.com. To post to this group, send email to nailtech@googlegroups.com. Visit this group at http://groups.google.com/group/nailtech. For more options, visit https://groups.google.com/d/optout.
