Pricing based on chair rental vs commission - the math surprised me
I was doing my taxes last week and ran the numbers on chair rental vs commission for the first time in 8 years. A stylist I know takes 70% commission at a fancy salon downtown, but I found out that after she pays for her own color, backbar, and the extra self-employment tax, she actually keeps less per hour than I do renting a chair at my spot for $450 a month. The breakdown shocked me because everyone in my salon keeps telling me commission is the only way to go. Has anyone else actually crunched both numbers for their specific city or situation?