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How Do We Keep Takings Separate When Our Hair Salon Has Both Employed Stylists and Chair Renters?

Hair salons with employed stylists and chair renters mix takings on one card machine, then untangle it by hand. We separate payments per stylist from the start.

Updated 3 min readBy SpiderHunts Technologies

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Quick answer — TL;DR

When employed stylists and self-employed renters share a till and card machine, the money for every service lands in the salon's account and has to be split out afterwards. We set up payments so each renter's services are paid to them or clearly allocated from the start, produce a daily split the owner and renters can both see, and feed the result to your bookkeeping.

One card machine, two kinds of business

Your salon has four employed stylists and two renters. There is one reception desk and one card machine. Clients pay at the desk for whatever they had, and the money goes into the salon's bank account. At the end of the week, someone works out how much of it belongs to each renter, pays it across and keeps a note.

A client has a colour with a renter and buys retail from the salon's shelf in the same transaction. Another pays for her daughter's cut with an employed stylist and her own colour with a renter on one card. A refund goes through for a renter's service. By the end of the month, the spreadsheet has corrections on top of corrections.

Why the money gets mixed

The salon has one payment set-up, built for a salon where everyone is employed. Adding renters to it is quick, but the payments are still the salon's, so renter income passes through the salon's account.

Splitting it by hand relies on the till recording the right stylist for every item, and on mixed transactions being broken down correctly. Both go wrong on busy days.

And the renters cannot see what has been taken on their behalf until the owner tells them, which leads to questions and sometimes to distrust.

What mixed takings cost

ProblemEffect
Renter money in the salon's accountWeekly transfers and records to keep
Mixed transactionsSplits done by hand and sometimes wrong
Refunds and tipsAllocated inconsistently
Renters cannot see their takingsQuestions and friction
Card fees shared unclearlyArguments about who pays them

How renters' income should be handled, and what that means for tax and for their self-employed status, are matters for you, your renters and your accountant. We give no advice on it. We build the payment set-up you and your adviser decide on.

How we separate takings from the start

  1. Each stylist, employed or renter, is set up in the booking and till system with their status, so every service is tied to the right business.
  2. Where your adviser recommends that renters take payment directly, each renter can have their own payment account, for example through Stripe Connect or their own card reader, and the desk charges the right account for their services.
  3. Where payments stay with the salon, each transaction is split automatically by line item, services to the stylist who did them and retail to the salon, including mixed baskets.
  4. Tips and refunds follow the service they relate to, by rules you set.
  5. Each renter sees a daily and weekly statement of their takings, fees and any amounts due to the salon, such as rent or product.
  6. The salon's own takings and the renters' balances are exported to your accounts software, such as Xero, with the split already done.

Some salon platforms already support separate payments for chair renters. If yours does, we set that up rather than building around it.

The end of the week

On Friday, each renter opens their statement and sees their services, tips and card fees, with rent and product deducted if that is your arrangement. The owner sees the salon's own takings without renter money mixed in. The bookkeeper gets a clean export. Nobody spends Sunday with a spreadsheet.

  • Every service tied to the right business
  • Mixed baskets split automatically
  • Clear statements for renters
  • Clean figures for your bookkeeper

When a new renter joins, they are added once with their status and terms, and every payment after that is handled the same way as everyone else's.

Is this how your till works?

  • Renters' takings go through the salon's card machine and bank account.
  • Someone splits the takings by hand each week.
  • Mixed transactions cause errors.
  • Renters ask what they are owed.
  • Card fees and refunds are handled case by case.

FAQ

Frequently asked questions

The questions readers ask us after this guide.

Still have a question?

Ask us directly — a senior engineer will get back to you.

Ask about your project

Should renters take payments directly?

That is a question for you, your renters and your accountant. We can build either set-up.

Can one client pay for services with two stylists at once?

Yes. The basket is split by line item, whichever payment method the client uses.

Who pays the card fees?

Whoever your arrangement says. The fees are shown on each statement so it is clear.

Does it work with our current till?

Often, yes, especially if it supports stylists and line items. We check first and tell you if it cannot.

Keep reading

More on Problems We Solve

Start here

Tell us how your stylists' columns and chairs are set up

Describe your team, who is employed and who rents a chair, the booking software each of you uses and where money or bookings get muddled. We will tell you what we would set up or build, and if your current software can already do it, we will show you how.

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