Comments on: “Independent Contractor” Defined: For Salon Owners

By: Amber

Amber — Tue, 21 Aug 2018 01:33:12 +0000

Thank you. I think you just saved me a whole bunch of money, trouble and I dont konw what.

By: Tina

Tina — Mon, 23 Jul 2018 13:44:26 +0000

In reply to Noa.

You should not have signed the non-compete, regardless of what you think of its enforceability. Never sign anything you don’t plan to abide by, because they may decide to hold you accountable to it and a judge may agree with them. (It’s unlikely, but it happens.) In any case, she cannot ask you to be exclusive to her business as she does not employ you.

Anyways, if we want to get technical, an appropriate business model is one in which you are lawfully employed, taxed, and compensated. Since that doesn’t appear to be an option, tell her to set a rental rate for you and allow you to run your own business entirely. I don’t know how any lawful employers are making a profit on a legal (taxed) 60/40 split. As an owner with a healthy financial balance in the salon, I can tell you that split wouldn’t be sustainable for us (nor for any of the hundreds of salons I balance finances for every year). That said, you’re paying your own taxes. That 60% will shrink to 44.7% after federal taxes. It will shrink further if you have to pay state income taxes.

Ultimately, you have to choose compensation that makes sense for you. You’re the only one who knows what your lifestyle requires.

By: Noa

Noa — Thu, 19 Jul 2018 02:08:46 +0000

I just emailed you. But I will also post here. Maybe someone else is going through the same thing.. I am on one income suddenly and am a lash artist. I interviewed at a place that wants to hire me as an IC and give split 50/50 commission. I do have to purchase my own adhesive and lashes. My employee taxes are not being paid however. A 1099 will be given to me next year. I need the income and she plans to have me sign a non compete while I work there. I of course know if im truly and IC she cant hold me to anything. But I digress. I am in a pickle financially and have two young children. I will work here a few months (its in a city 20 miles from me) and build my business with clients in my own area. I will not steal clients from salon, I have no interest. We live in a unique beachside barrier island. People will NOT leave their town unless its urgent. People in my area wont go to her, and people in her area wont go to me. We both discussed this when she asked me not to work outside the salon. If I was to talk with her about an appropriate business model what would I tell her? Lash artists services are high cost 150-250 dollars. Many lash artists I know of in other cities make 60 percent and their owner makes 40percent and pays employee taxes. I dont know what I should do if I discuss this with the owner later. But she makes my schedule, I will say she schedules me however I ask. And there are large amounts of clients so the place is always busy. No one sits around and does nothing.

By: Tina

Tina — Mon, 21 May 2018 14:05:05 +0000

In reply to Belle. It doesn't matter how infrequently you require their services, you would be better off making them an employee, as it would be hard to defend classifying them otherwise in this arrangement. I recommend reading this post to understand why a little better.

By: Belle

Belle — Fri, 11 May 2018 14:43:51 +0000

I’m a mobile massage therapist and I don’t want to travel to do one massage anymore so I’m changing my business to do spa parties and corporate chair massage. I’m not at a point where I’m always book but for when I have a larger party and I need someone with me can I contract another massage therapist or do I need to have an employee? And if the massage therapist needs to be an employee, how will i go about it if I need them for about 4-10 hours a month? Will I need to provide the massage table/chair, sheets, oils etc. Like I said I just started doing the spa parties so unless I have a large group I don’t need another therapist.
Thanks

By: Tina

Tina — Mon, 08 May 2017 17:11:51 +0000

In reply to Jenelle Oldham. Definitely file an SS-8 yourself. Some states are better than others about providing resources and assistance, but in many, you have to be the one to take initiative and really be a pain in their ass until they listen. (Some government employees aren't worth shit and have to be forced to do their job. You're a taxpayer. They work FOR YOU. Don't let them forget that.) This post might be more helpful, as will this one.

By: Jenelle Oldham

Jenelle Oldham — Thu, 04 May 2017 22:33:12 +0000

ello! My name is Jenelle Oldham and I have been working as a commission hairstylist in LA for the past 4 years. I have been the busiest stylist and the top money maker for the salon the entire time I have worked there. For tax purposes they have me classified as a 1099 and have been taking approximately 50% commission ( all deductions and written in pen) and then also making me purchase color and hair products from the owner and deduct it from my check as well. I have done the math and it’s around 100k they have taken in commission and not paid ONE dollars into my taxes and don’t give me proper receipts for my purchase which makes my taxes and life very hard. I work 11 hour days with no lunches and standing all day! I was at the salon more than anyone even the owners! They have been totally taking advantage of me… I was just too tired to figure it out! I started looking for a new job and and realized what they have been doing is completely not legal and I’m not going to let them get away with this! I have tried to contact lawyers but no one will help me and I don’t know what I should do first. I went to the Labor Board and they weren’t very much help either. I don’t know if I should file an SS-8 myself and also turn in the paper to the Labor board. Any insite you can provide on how I should proceed who be beyond helpful! Thank you for your website

By: Tina

Tina — Wed, 19 Apr 2017 14:35:37 +0000

In reply to Tina. Also, this one too. Your non-compete may not be enforceable at all.

By: Tina

Tina — Wed, 19 Apr 2017 14:34:52 +0000

In reply to christopher. You need to read this post, this post, this post, this post, and this post. You might also benefit from this one. All of those have to do with your situation.

By: christopher

christopher — Wed, 19 Apr 2017 04:03:55 +0000

I work for a salon where I fold towels, clean, it’s teamwork, my boss’ are bullies and so are the employees. I have to stay in the salon until they say I can leave, i have a set schedule. I’m a independent contractor, 1099, my boss charges for over head on colors, haircuts, etc. I signed a no compete and she said I can’t take my clients with me when I leave.. most of the clientele that come in I fish for them through mixers and social media as their salon have very few walk ins.. I wanna quit and move to friendlier tied but afraid she’ll take legal action for taking my clients and working close to her salon.. These people are so evil..