Clients usually pay me. but when a client has a gift certificate, i write a receipt, and on the receipt I put my name, the name of the client, the date, the service, the amount, and how it was paid (I have to look up in our GC book for that, which is a whole other topic). Now... i could let our receptionist do this but I'm a control freak so i do it myself.. Now when we have day packages come in i write a reciept like with the GC and let the receptionist collect the payment. if it's cash she divides it accordingly and gives it to us. if it's a credit card all the receipts get stapled to the charge receipt and the owner pays us the next week. We can have our own charge accts but i found it to be cheaper just to go through the owner and pay the 2.5% (it's the average cost of one transaction) she charges us. I have converted all of my clients to cash or checks and I have a sign at my desk that says "cash or check preferred". Only 1 other nail tech and I booth rent in the spa so in the case the client writes a check for a package she just writes it to the spa and the owner pays us. Tips are paid in our check from the owner. if it's a cash tip she just gives us the cash after the client leaves. I work for a really great and fair owner. Cira
--- On Mon, 7/6/09, [email protected] <[email protected]> wrote: From: [email protected] <[email protected]> Subject: NailTech:: Re: taxes/ independent contractor To: [email protected] Date: Monday, July 6, 2009, 6:23 PM Angie, The BR/IC would have to pay the salon owner if there is an agreed upon amount. I do not know all the logistics of it all, but the owner should take provisions in their contract to prevent that from happening. Maybe a clause that states whatever percentage or a base fee. Which brings up yet another question: the intake would really be on a trust basis. How do all of you who booth rent do this? Do your clients take a receipt to the desk? Or do you allow the desk to take your money and they pay you? Wow--this has opened up a can of worms!!! Buenos dias, Lynnette Sent via BlackBerry from T-Mobile From: Angela R Wingerter Date: Mon, 6 Jul 2009 11:12:18 -0700 (PDT) To: <[email protected]> Subject: NailTech:: Re: taxes/ independent contractor If I were the salon owner and someone wanted to rent on a commision basis this would be my concern...You cannot tell a booth renter that he/she has to be at work or work x amount of hours so if the booth renter didn't want to come to work and make money, you as the salon owner would be screwed, and the booth renter would be taking up space in your salon that you could be renting to someone else. The booth renter is also not making money but is not out any money either. How would you handle that situation? Angie Wingerter From: Maggie in Visalia <[email protected]> To: [email protected] Sent: Sunday, July 5, 2009 10:30:26 PM Subject: NailTech:: Re: taxes/ independent contractor The IRS looks at more issues than just who pays whom. That argument aside: A. I sure as heck would hope that the IC would be getting receipts for ALL monies paid to the salon owner-- including what goes to the receptionist! So that she can write off all those fees. B. My concern is how the salon works it so they collect money for the receptionist fees, without making the receptionist an employee of each IC? Cuz that would result in the IC's being responsible for withholding taxes, paying into unemployment and workers comp. What a mess! I wish Nails and Nailpro would put ALL their articles that they have ever published into a searchable database so that I could go to their website, type in "IC vs renter" or "worker status" or "contracts" and dig up those dang articles I read a few years ago all about the different types of rental agreements that you're likely to come up against if you open a salon-- cuz there's one that takes a percentage of your gross receipts. Which, according to some of our aguments, would result in the salon owner becoming an employee of the landlord. (hrmph) Also... there was an article about how you needed to work it if a booth rent salon decided to hire a receptionist-- which I recall being very much along the lines of what we're hearing here. Each person has to contribute seperately to a fund, it shouldn't be part of the rent/commission. *Sigh* I have to go make dinner. Maggie Franklin: Attitudes Salon; Visalia, CA "Visionary rebel dreamer; obviously way ahead of my time." Maggie's Website Maggie's Blog Maggie Rants [and Raves] Myspace Facebook --- On Sun, 7/5/09, [email protected] <[email protected]> wrote: From: [email protected] <[email protected]> Subject: NailTech:: Re: taxes/ independent contractor To: "NailTech Group" <[email protected]> Date: Sunday, July 5, 2009, 12:03 PM Well, I have paid "booth rent" on a commission basis.... Like 65-70%...was mine... BUT the terminolgy matters here. I paid the salon owner the 30-35% --which was my booth rent. But, at the same time, I contracted an agreement, (albeit verbally), that I paid 35% of all SALES, (which includes SERVICES... NOT TIPS or RETAIL), up to whatever boothrent amount would be--- say, for argument's sake: $100. So, in other words, if the 35% worked out to be more than $100, $100 (booth rent) is all I paid. This type agreement works for someone just starting in a new location and trying to get established... And you can still retain IC description. HOWEVER... If the salon owner is collecting ALL monies and issuing a check to said nail tech-- whether it is an hourly rate or some agreed-upon percentage, that tech is STILL an employee! And to color it any other way is illegal-- depending on state law, of course..... JMHO Melody Montgomery Sent from my BlackBerry® wireless device from U.S. Cellular -----Original Message----- From: Diana Bonn <[email protected]> Date: Sun, 05 Jul 2009 12:43:50 To: <[email protected]> Subject: NailTech:: Re: taxes/ independent contractor WOW, Lynnette, that is a good question. Well we do know that the owner will write that one off, because the owner is paying the receptionist. So got that one. I am thinking, we don't have the details, but sounds like the owner will be collecting the service dollars, paying the i/c a check and probably a line item of subtracting the cost of the receptionist. The other I/C's, not new one, I wonder if they write a check to the owners or a check is cut. If the i/c's write a check, they would write the receptionist fee off on their taxes. But in this case of a new I/C, them paying her a comm and a receptionist fee, I am guessing they will cut her a check. How would the new I/C write this receptionist fee off if she never received the service dollar? Actually if you think about it, if she is receiving a commission of 65% plus the fee, then you could think of it not as 65% commission, but a lower percentage, maybe 63 or 64% commission. In other words, we will pay you 65% commission but you have to pay a receptionist fee, or we will pay you 63% commission and that includes a receptionist fee!! (numbers are estimates guys) Wow, mind boggling, I just don't know. I would guess no she can't write this off, but I am not an accountant. Good question. diana from indiana At 11:14 AM 7/5/2009, you wrote: >Diana, >Great points as usual! You made me think of this-- if the owner >takes $100 a month to pay the receptionist, who is claiming that? >How does THAT work? >In this techs situation, there are way too many red flags...... >Buenos dias, >Lynnette >Sent via BlackBerry from T-Mobile --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "NailTech" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [email protected] For more options, visit this group at http://groups.google.com/group/NailTech?hl=en -~----------~----~----~----~------~----~------~--~---
