But how come some are able to earn beyond 6 figures and other struggles to make ends meet? Mariel Loveland is a small business owner, content strategist and writer from New Jersey. You need to deal with all types of issues that arise in the salon and, on top, you need to ensure there’s enough money in the bank at the end of the month to pay your salon employees’ salary. I second Angie’s answer. Reviewed by: Michelle Seidel, B.Sc., LL.B., MBA. This is therefor a good alternative for the ambitious salon worker who wants to increase responsibility but isn’t yet ready to open a salon. Hairdressers make $24,800 per year on average. Salon owners who take the traditional path, work their way up in a salon starting as the assistant who washes hair and sweeps the floor before launching their own salon. Many beauty industry salaries are also heavily dependent on tips. Because of this, they can make millions, but that's not the average. This is meshing two business types from the same industry into one package, which leads to an increase in profit. When you own a salon, you’re not only compensated by the salary you’re paying yourself every month. Salon owners can earn an annual wage up to £27,001. The average woman who gets her nails done every two weeks spends about $1,345 a year on her manis and pedis. One option for salon owners is to pay themselves a salary as they would any other employer. We’ll soon go through how a Nail Salon Owner can improve the salon business and earn more money. At the time of writing, the median hourly rate for a hair stylist (in Australia) is $20.90 AUD ($15.60 USD or £11.73). My hair is very long, so getting the right cut and highlights can be a daunting task. And in my opinion, this answer has far too many variables for the simple question that was asked, but I'll try. The Salon Manager and Salon Owner is however often the same person. Beauty is a $445 billion industry – from cosmetics and skincare to hair and nail salons. Although the Salon Manager position has more responsibility than a regular Salon Worker, it’s not as stressful as being the responsible owner. The salon’s location influence the salary up to 50% vs. average and with the right business management, salon owners can make over 6 figure income. Copyright 2021 Leaf Group Ltd. / Leaf Group Media, All Rights Reserved. She is a hard-working stylist at the Visible Changes Salon inside the Willowbrook Mall in Houston, Texas, where she is bringing in the bucks through services and retail. The beauty industry has long been touted as recession-proof because enough people are always going to want a professional haircut or their body waxed. Their salary model is typically based on an hourly rate which is $11.7/hour on average (BLS). Several factors impact the salary of a salon owner. A hairdresser salary widely varies by industry. Your plan should include clearly spelled out business goals and include and actionable plan for how to reach them. In particular, if your salon is growing at a fast pace. She mainly trimmed off the ends without taking off too much length. This is due to the introduction of offering products to customers who are receiving a service. Zoologists and ... $62,290/year 2012-2016 -8.9%. Those working in cosmetology work in salons where they cut, color and style hair. Their salary model is typically based on an hourly rate which is $11.9/hour on average. How Can Cosmetologists Make Money with No Salon Clients? There are so many different factors that you need to take into consideration to figure out whether your nail salon can be a profitable business.Each business needs to be based on a good business plan, but before you even start making one, think of how much money you have for investment and whether a nail salon is the right business for you. It doesn’t matter how good you are your staff is at your craft. Most salon owner decide to enter in business due to their entrepreneurial passion and desire to create something for themselves. The U.S. total salon business is a $56 billion industry with 300,000 plus locations. Choosing the right coverages for your salon is vital, as it can protect against costly losses from things like customer injuries and their resulting lawsuits. Traditionally, salons have been a place of service. This opens up opportunities for more businesses to enter the market. There is a positive outlook for jobs in the salon industry. But simple things like lowering fixed costs like your salon insurance are easy to do and improves your profit every month after. Ya'nom Art of Hair Salon Owner/Stylist salaries - 1 salaries reported: $1,548 / moShears to You Salon Owner/Stylist salaries - 1 salaries reported: $10 / hrWild Hair Company Salon Owner/Stylist salaries - 1 salaries reported: $65,000 / yrCardinal Spa and Massage Salon and SPA Owner salaries - 1 salaries reported: $500 / mo According to the Bureau of Labor Statistics, hairstylists make a median wage of $24,950 – but tips are also a huge portion of their income. When you start expanding on your services available, you open the door to new clients that may have previously not been interested. I hope this article has given you a good answer to how much salon owners make. Not understanding the business that you are REALLY in. You don’t just want it to be a pretty brochure that presents your salon, you want it to convert visitors into followers. However, as innovation continues in the field, business ideas that add additional income streams have increased. The variation of income for Salon Managers fairly small and within $14,000 per year. Do you Deed a Cosmetology License to Own a Salon Many investors often ask whether they should have a cosmetology license to own a salon despite the fact that they have not studied anything related to beauty or hair styling. It’s people who conduct services on other people. They want to realize an idea and vision that they have not been able to achieve as employee of a salon. The hair care services industry is competitive, and it looks to become even more so. Learn about the Beauty Salon, Hair Salon, Nail Salon and hair care services industries and find information on how to start a Beauty Salon business.Don’t forget you can receive free or low-cost training and free professional business advice from your local Small Business Development Center!. And how can Salon Owners increase the money they earn? The median income is $24,850 a year ($11.95 an hour), meaning that half of hair stylists make less money and half earn more. Don’t Be a Star. This can give them a leg up on the business and financial side of owning a salon. If you are only going offer basic treatments such as manicures, pedicures … However, everything held constant, a salon owner should earn between 50,000 to 70,000 Euros per annum. Good salon software can do much more than just marketing. Others choose to work in salons that specialize in manicures and pedicures, along with services like acrylic tips and press-on nails. There are about 80,000 beauty salons and barber shops in the U.S., which generate a combined revenue of $20 billion, according to a 2014 Dun & Bradstreet First Research report. So as a salon owner and behind the chair stylist, I make As you look to your whole business, your salon software should be able to help you with tracking your expenses and make this work easier for you. Salon News: Hair Stylists Are Becoming Mobile Salon Owners. Salon Owners make $70,000 per year on average. “How much do Salon Owners make?” and “is a Salon Owner salary really much better than a Salon Manager salary or Salon Worker salary?”. Photographers $32,490/year /> 2012-2016 +17.9%. The mean hourly wage for a salon owner is £8.20; the median hourly wage is £7.10. Below are the sources I’ve extrapolated the data from in this article. The bottom 10 percent of hair stylists make a much lower salary of under $18,170 a year ($8.73 an hour), and the best-paid 10 percent get over $50,670 a year ($24.36 an hour). It has all the functionality you need to create a website. Unlike hairdressers who rent a chair from an already existing salon, salon owners have the ability to take their finances into their own hands. A hairstylist cuts, colors and styles hair, often as part of the beauty services offered in a salon. If you choose to open a hair salon, you'll be overseeing the cutting, dying and styling of customer's hair. Bebe, the owner, cut my hair so that you could barely tell. Learn more about how much salon owners make in my complete guide to salon owner and employee salaries here. As the owner, you're also in charge of your businesses finances including purchasing products for your stylists, handling bills and marketing your business. On top of the salary, hair stylists receives tip which can range from 15%-25%. Salon owners make an average of $41,000 a year. Some experienced salon owners eventually gain international fame and have their work featured on red carpets and magazine covers. So if you found the information that I shared today helpful, sign up to my free salon business ideas below and share this article with your friends. That’s a lot of salons making money. Just looking at the expected salon owner salary does not give justice to the reward you get as a salon owner. But there are also further monetary rewards. Salon owners make an average of $41,000 a year. A salon owner’s salary is a tricky number to pin down, due to the many different factors that can affect it. Although people may assume that it’s reserved solely for desk jobs, an annual salary is another avenue for salon owners to consider. The mean annual wage for a salon owner is £17,231. According to the Bureau of Labor Statistics, hairstylists make a median wage of $24,950 – but tips are also a huge portion of their income. Tammys Beauty Salon can be found at Main St 718. The Must-Have Salon Instagram Tools: Tips For The Busy Salon Manager, 77 Unique & Classy Hair Salon Names for the High-End Salon, read my guide to the best salon software here, learn more about salon profitability and get profit margin benchmarks, list of services to consider for your salon menu here, How to Effectively Market Your Salon on Social Media, How to Create a Salon Website: Step-by-Step Guide for Beginners, The Ultimate List of Tools to Grow Your Salon Business, Best Tools to Design and Produce Salon Materials. Spa Owner salary ranges from $35,000 to $120,000 per year for most Spa Owners. The entry is present with us since Sep 9, 2010 and was last updated on Nov 14, 2013. An annual salary has many of the same benefits of an hourly position. Salon owners may earn an hourly wage up to £12.90. Massage Therapists make $41,400 per year on average with an hourly salary of $19.9. Sam talks about her role as a salon owner, including key responsibilities and compensation. But the answer is not as straightforward as a single number. I know, cutting and optimizing cost is not the most exciting exercise but it’s often overlooked. It's important to also remember that many salon owners can make well above the average, especially in expensive cities like New York or San Francisco. Most salon owners start out as hairdressers or estheticians and have the experience of cosmetology school, esthetician school or specialized programs for nail technicians already under their belts. It’s clear that the range of Salon Owner salaries is wide. This is why you need to put the right cost controls in place to ensure your salon is not leaking profit somewhere. All successful salon owners have a solid salon marketing plan as part of their salon’s business plan. The Bureau of Labor Statistics estimates that the cosmetology industry is growing at a rate of 13 percent year-over-year. The average woman spends about $44 per haircut, with some services like double-processes and color corrections exceeding $350 per visit. Men are behind at around 50% but the share of many regularly visiting salons climbing steadily (MIN). Also Beauty Salon Owners make $75,000 per year on average which is not surprising as they typically offer similar services (CMP). In the following section, we’ll go through the best practices for how to run a successful salon business. Reported Hair Salon Owner salary ranges from $14,500 to $385,00 per year but most hair salon owners fall into the $70,000 to $175,000 annual salary range. Spa Owner salary varies based on location, the type of Spa (small day spa vs. large spa resort), and how well managed the spa business is (SAP). Skincare Specialists make $31,300 per year on average with an hourly salary of $15.1. This includes specialized treatments like hair relaxing, perms and extensions. The Salon Owner’s salary depends on location and how well managed the salon is. But the salon industry is showing a positive trend compared to many other industries. by Maggie Mulhern | August 26, 2016. Salon owners make an average of $41,000 a year. Estheticians work in skincare and perform everything from laser hair removal to aromatherapy, wraps and body masks. Additionally there are thousands of locations that are strictly nail salons. This is why I’ve put together a social media guide for salons here to help you get started with using social media to effectively market your salon. Some beauty salon expenses are one-offs or unexpected but need to be handled nonetheless. According to the Bureau of Labor Statistics, hairstylists make a median wage of $24,950 – but tips are also a huge portion of their income. Hair and beauty salon insurance is insurance customized to fit the needs of salon owners. Schoolcraft College: Cosmetology Management, National Training Tanning Institute: Salon Operations and Procedures Course, Wisebread: You Won't Believe How Much the Average Person Spends on Salon Visits Each Year, Bureau of Labor Statistics: Barbers, Hairstylists and Cosmetologists, Forbes: Why The $445 Billion Beauty Industry Is A Gold Mine For Self-Made Women, Bureau of Labor Statistics: Hairdressers, Hairstylists and Cosmetlogists, Professional Beauty Association: Homepage. Famed stylists often launch entire beauty schools and haircare lines (like Vidal Sassoon) and open numerous salons to showcase their style and products. When used right, social media is a powerful marketing tool for salons. A beauty salon owner's job depends on the type of salon they choose to open. Barbers make $13.4/hour on average which is higher than the average Hairdresser (BLS). The salary for Spa Workers varies greatly depending on what services they are licensed to perform. This article dives into the details of how much you can make in a salon business as well as how you can influence it. However, it can also consumer a lot of time without adding much value if used incorrectly. How much tax will you have to pay as an Hair Salon Owner For an individual filer in this tax bracket, you would have an estimated average federal tax in 2018 of 22%. Get a free Beauty Salon, Hair Salon, Nail Salon business plans template on our Business Plans page. Salaries paid to beauty salon and spa workers are the highest among beauty services providers. Her work has been featured in publications like Business Insider and Vice. You’re building a business that can yield even higher return if you one day decide to sell it. The highest average hair salon owner salary is in San Francisco which is 51% higher than U.S. average. Any salon owner will tell you that running a commission salon is insanely expensive and having employees in any business in any industry is expensive. Hair Salon Owners make $75,000 per year on average. Some numbers used in this article are calculations based on the data on the sources below. There are however much more you can do to grow your salon business via effective salon marketing. There are nail salons, where women pay an average of $19.50 per manicure and $32.25 per pedicure for a variety of services including gel manicures, acrylic tips and nail art. Brought to you by opendius. To add significant growth to your salon business, you should not only focus on the incremental improvements you can make to your existing business. But to what extent are Salon Owners compensated for the added responsibility? Whether your exit strategy is to sell your salon, leave it to your children, or slowly … On top of effectively managing your team, you need to effectively manage your business. Apprentice (about 0 to 2 years): $10 per hour, Junior Stylist/Colorist: about $20,000 - $24,000, Senior Stylist/Colorist: $26,000 – $28,000, Master Stylist/Colorist: $29,000 - $51,000. Nail Salon Owner salary ranges from $40,000 to $75,000 per year for most Nail Salon Owners. Depending on the size and condition of the premises and whether you are renting or buying, an initial investment could be anywhere between £50,000 and ten times that amount. In particular the performance of the salon. Although this is an intrinsic reward, it’s something you should take into account if you’re considering a future as salon owner. This is because of the specific license requirements to perform these specific services. Start-up costs for a beauty salon are high. If you spend a good amount of money which you should discuss with you and your business partner, you will make a good 70,000 to 150,000 a year. Once you decide to hire workers you must make a determination if they are your employees or if they will operate their own independent busi-ness (booth renters). This means keeping track of the most important numbers and understand how to read your business. If you’re not sure if the salon software you’re using today is giving you the support you need you can read my guide to the best salon software here. This has lead to an increase in overall sales as well over the past few years in the industry. Disclosure: This post may contain affiliate links, meaning I get a small commission if you decide to make a purchase through my links, at no cost to you. Understandably, the answer to the question “how much do salon owners make?” is much more complex than a number. Only 10 per cent of salon owners take home an annual wage as low as £10,627. Salon Managers earns $37,000 per year on average. If new clients don’t know you exist and your existing client doesn’t understand why they should spend more with you, you’ll struggle with making your salon profitable. Your salon’s website is many times the first interaction you have with new clients. You’re building a brand, a team, a location and a clientele. The annual growth is currently just over 2%, which is expected to keep climbing.With the salon industry being a near $60 billion field, it is becoming more and more appealing to the young business owner to look into (IBIS). Make sure you understand how your current salon software can help you market your salon. A small day spa is typically more similar to a salon in structure while large spa resort has a different ownership structure where each location is managed by a Spa Director who also earns the highest salary from the specific spa location. It’s not just styling hair, applying nails, make … Did you find this post helpful? To be successful in growing your salon business, you cannot only add new ideas to your business. Over 70% of all women regularly visit a salon for at least one service. If you want to open a salon, it's time to go to beauty school. If you still work behind the chair, then 9% will be surplus above and beyond your commission, assuming it’s 40% of your service dollars. This could also be the reason why salaries are generally more consistent for Salon Managers compared to Salon Owners. I cover how you can do this in more depth in my article how to grow your salon business here. You should also make sure you have the fundamentals in place for effective interaction with new and existing clients. Becoming a salon owner comes with responsibility. That is not a typo. The following is offered: Salons. These are three vital components you need to have in place to effectively market your salon. In order for any business to be profitable, the person who runs it really needs to learn all the ropes. As you start growing your business you should not forget this and ensure you continue to keep your team trained and motivated. There is a common theory that commission is a rip-off and greedy salon owners are keeping too much of your money. For more inspiration, I recommend you check out my list of salon marketing ideas here. Let's just get it out there right away: Christine Le is a hairdresser and makes more than $600,000 a year. When you have multiple sources of income, you’ll not only grow your business faster. At Be Be's Salon, my hair always comes out looking stellar! Salon owners can work in a variety of beauty fields. The right salon software can help you get new clients and communicate effectively with your existing clients. You can learn more about service opportunities in my list of services to consider for your salon menu here. You also need to make sure you execute all the new ideas with excellence. The average annual salary for Hair Salon Owners is $75,000 per year (CMP), Nail Salon Owners is $58,000 per year (MNB), and Spa Owner is $78,000 (SAP). 5 Factors That Impact Your Hair Salon Valuation. To assess if you’re paying too much for salon insurance today, you can read my article how much does salon insurance cost here. Salon Manager salaries ranges from $18,000 to 56’500 per year. As a bare minimum, you need clean, spacious, well-equipped premises in a good location, a wide range of popular treatments and highly trained staff. Nail Techs earn less than a Nail Salon Manager or Nail Salon Owner. If you've got some creative flair and a passion for beauty, you may want to open your own salon because it's undeniably lucrative. Independently of your field, whether it be hair, nails, or spa, the salon industry as a whole, is steadily growing. An overview can be found here. Hair salons have branched out to offer packages such as full care treatment,  massage/shave and other beauty services. Job growth is projected to be 13% for now until 2026. This is very different compared to Salon Owner salary which varies greatly depending on the location and salon business performance (ZIP). The average salary for a Salon Owner is $44,380 per year in United States. It’s only larger salon chains that have separate a Salon Manger. That being said, if you’re interested in starting your own nail salon business, why don’t you take a look at what it takes to get that $40-$75K per year? The Salon Owner’s salary depends on location and how well managed the salon is. Posted on September 08, 2015. There is always new salon news and trends being released with one survey finding the largest salon chain in the U.S. hasn’t had a sales decrease at the same store in back-to-back years. And then, this continuous and endless cycle of marketing and bringing new business into the salon. This has increased the annual profits of salon businesses. Finally, it doesn’t matter how much revenue your salon is generating if it’s all being eaten up by your salon expenses. Learn about salaries, benefits, salary satisfaction and where you could earn the most. There are tanning salons, which have a variety of skin treatments from tanning beds to spray-on tans. Though it's not required, some salon owners may choose to get an associate's degree in cosmetology management or a four-year degree in business. Below are three specific areas I’d recommend that you focus on first. Reported Hair Salon Owner salary ranges from $14,500 to $385,00 per year but most hair salon owners fall into the $70,000 to $175,000 annual salary range. These programs typically take less than two years to complete. 1.) Not only is the salon industry constantly growing, but the services offered also not showing any signs of going away. Multiple Streams Of Profits– The most profitable salons make money on more than just hair … Reported Hair Salon Owner salary ranges from $14,500 to $385,00 per year but most hair salon owners fall into the $70,000 to $175,000 annual salary range.