Payroll · labor cost

Hair Salon Payroll Percentage Calculator

Track payroll, commissions, taxes, and benefits as a percentage of salon revenue.

Payroll is the largest cost in a hair salon. This calculator finds your fully loaded labor cost as a percentage of revenue — the single biggest lever on margin.

  • Payroll % = Total Payroll (incl. taxes & benefits) ÷ Revenue × 100
  • Healthy hair salon payroll runs 45–50% of revenue
  • Add payroll taxes and benefits for the fully loaded labor cost

Built for salon owners controlling labor cost and commission structures.

Source: BizMetricsHQ 210+ hair salons (2025–2026). Methodology

Payroll Inputs

Fully Loaded Payroll %

49.7%

Labor cost status: healthy

Base Payroll %

44.4%

Fully Loaded Payroll

$159,040

Base Payroll

$142,000

Industry Benchmarks

  • Payroll % (fully loaded)

    45 – 50%

  • Stylist Commission

    40 – 55% of service

  • Payroll Taxes & Benefits

    10 – 15%

  • Front-desk / Support

    6 – 10% of revenue

Frequently Asked Questions

What percentage of revenue should a hair salon spend on payroll?

A healthy hair salon spends 45–50% of revenue on fully loaded payroll (wages, commissions, taxes, and benefits). Above 50% usually compresses net margin; below 45% may mean understaffing or below-market pay.

Does payroll percentage include commissions and payroll taxes?

Yes. A complete hair salon payroll percentage includes stylist commissions or wages, front-desk and support pay, plus payroll taxes and benefits (typically another 10–15%). That fully loaded figure is what you benchmark against 45–50%.