PaigeRosexxx
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Self employed advice
- Thread starter PaigeRosexxx
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BannerPenguin
Well-Known Member
No. It goes against all industry norms and sounds like an illegal self employed setup. I'd just ship to somewhere else immediately and then small claims court for the rest/backdated pay.
PaigeRosexxx
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Tracey xox
Well-Known Member
Not been in that situation myself but all I can say is GET EVERYTHING IN WRITING,
Text, email, letter whatever you can do, even if you talk about it, and text her and say so have I got this right xyz, that way if you wanted to take to court or even lawyer you have proof, no proof no result is usually the case, unfortunately,
The only person I know who was self employed in salon worked 50/50, which still seems high to me,
If you’ve been made to go self employed were you under a contract while employed- if so surely she’s gone again her own contract with you? In which case- as suggested you could walk out the door today and nothing she can do about it,
No contract means you can work elsewhere in another salon (which has been a clause in previous salons I’ve worked in) hope you get sorted, not best time of year to slash your wages!
Text, email, letter whatever you can do, even if you talk about it, and text her and say so have I got this right xyz, that way if you wanted to take to court or even lawyer you have proof, no proof no result is usually the case, unfortunately,
The only person I know who was self employed in salon worked 50/50, which still seems high to me,
If you’ve been made to go self employed were you under a contract while employed- if so surely she’s gone again her own contract with you? In which case- as suggested you could walk out the door today and nothing she can do about it,
No contract means you can work elsewhere in another salon (which has been a clause in previous salons I’ve worked in) hope you get sorted, not best time of year to slash your wages!
Paige, you need to see a solicitor. Ring around and see what one will charge you to give you an hour’s advice. You should earn at least minimum wage otherwise it’s illegal - unless you haven’t done a full year as an apprentice?
Do you get a top up to your wages for universal credit or anything like that? You may be able to get some advice and support from the job centre if you do,
You could also try citizens advice but there’s usually a waiting list, it won’t hurt to try.
The “self employed” deal she’s offered you is to work on a contract basis. It’s not quite the same thing as running your own business within her salon. You are classed as a contract worker and you have rights and should get minimum wage and holiday pay. You can read more here Employment status.
Your employer should pay you a maximum of 33-35% of your takings. I know that sounds like she’s keeping a lot but she needs to pay all the salon overheads and that is the normal percentage. I used to despair when my staff earned as little as £3000 because I just couldn’t get any profit out of such a small amount and I was basically training them for free. I only really made any money if they hit £4k. Understanding that a grown-up wage isn’t possible if you are only producing a trainee level of income will help you to see both sides of the issue.
If you were self employed (you’re not truly self employed on the arrangement she’s offered you) you would keep a bit more to make up for not having sick pay or holiday pay. Self employment needs to be at least a 20% increase on your hourly wage, otherwise it’s a pay cut. That would work out a minimum of 40% to you.
It’s easy to imagine that a business owner makes loads of money. I used to! I was astonished to discover how little I understood about all the costs of business. It’s a bit like moving into your own place. When you live at home with your parents it seems very straightforward to be able to afford your own space, you save up your deposit and buy nice mugs and towels and then you spend the next 18 months broke as you discover that loo cleaner, bin bags, toilet rolls and washing powder are just a few of the things that you didn’t realise cost so much.
Do you get a top up to your wages for universal credit or anything like that? You may be able to get some advice and support from the job centre if you do,
You could also try citizens advice but there’s usually a waiting list, it won’t hurt to try.
The “self employed” deal she’s offered you is to work on a contract basis. It’s not quite the same thing as running your own business within her salon. You are classed as a contract worker and you have rights and should get minimum wage and holiday pay. You can read more here Employment status.
Your employer should pay you a maximum of 33-35% of your takings. I know that sounds like she’s keeping a lot but she needs to pay all the salon overheads and that is the normal percentage. I used to despair when my staff earned as little as £3000 because I just couldn’t get any profit out of such a small amount and I was basically training them for free. I only really made any money if they hit £4k. Understanding that a grown-up wage isn’t possible if you are only producing a trainee level of income will help you to see both sides of the issue.
If you were self employed (you’re not truly self employed on the arrangement she’s offered you) you would keep a bit more to make up for not having sick pay or holiday pay. Self employment needs to be at least a 20% increase on your hourly wage, otherwise it’s a pay cut. That would work out a minimum of 40% to you.
It’s easy to imagine that a business owner makes loads of money. I used to! I was astonished to discover how little I understood about all the costs of business. It’s a bit like moving into your own place. When you live at home with your parents it seems very straightforward to be able to afford your own space, you save up your deposit and buy nice mugs and towels and then you spend the next 18 months broke as you discover that loo cleaner, bin bags, toilet rolls and washing powder are just a few of the things that you didn’t realise cost so much.
PaigeRosexxx
Well-Known Member
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Hi Paige. Congratulations on passing your level 3. If you work in a busy salon then a 40% commission should give you a decent wage - especially as you are in a good area. You could look back through last year and see how much money you took and that will allow you to estimate your income for this year. I think it’s very positive that your Boss has negotiated with you and offered a more generous commission. It sounds like she’s trying to be fair.
If your Boss takes more than £85k a year (and it sounds like she does) then don’t forget the taxman will be taking 20% VAT off the turnover as well. So what looks like £9k in a month is only £7200 to your Boss.
Working with an established salon owner who has built up a client base should give you an excellent start to self employment and really make up for the grind and slog of the last couple of years. It’s tempting to leave and set up on your own for £25 a day (£500 a month) but you might find that you struggle initially. Clients are very set in their ways and don’t always follow their regular beauty therapist. There was a good salon near me that closed down and several girls set up on their own. Their clients didn’t follow sadly. The girls had to basically start from scratch.
This time of year tends to be quiet, luckily you have universal credit to help a bit and no bills to pay. I’d say stick with your Boss for a year and put some money aside in the good months to help out in the quieter months and maybe buy Christmas presents early. Don’t forget that you can be penalised on benefits if you have savings so try and forward pay bills and think of other ways to give yourself smaller bills in the quiet season, like stocking up on long life basics when you have the money. I always pay my Council Tax and water rates and insurance in 1 or 2 instalments for this reason - it hurts but it’s such a help this time of year.
You might also want to be a bit savvy about your pay dates and amounts. Sometimes it might be worth being paid a bit early in the month or perhaps every 4 weeks to smooth your income. Certainly spend a bit of time looking at this every month and pre-warn your Boss so she knows that the day you get paid can potentially affect your benefit top up.
Good luck and fingers crossed for you.
If your Boss takes more than £85k a year (and it sounds like she does) then don’t forget the taxman will be taking 20% VAT off the turnover as well. So what looks like £9k in a month is only £7200 to your Boss.
Working with an established salon owner who has built up a client base should give you an excellent start to self employment and really make up for the grind and slog of the last couple of years. It’s tempting to leave and set up on your own for £25 a day (£500 a month) but you might find that you struggle initially. Clients are very set in their ways and don’t always follow their regular beauty therapist. There was a good salon near me that closed down and several girls set up on their own. Their clients didn’t follow sadly. The girls had to basically start from scratch.
This time of year tends to be quiet, luckily you have universal credit to help a bit and no bills to pay. I’d say stick with your Boss for a year and put some money aside in the good months to help out in the quieter months and maybe buy Christmas presents early. Don’t forget that you can be penalised on benefits if you have savings so try and forward pay bills and think of other ways to give yourself smaller bills in the quiet season, like stocking up on long life basics when you have the money. I always pay my Council Tax and water rates and insurance in 1 or 2 instalments for this reason - it hurts but it’s such a help this time of year.
You might also want to be a bit savvy about your pay dates and amounts. Sometimes it might be worth being paid a bit early in the month or perhaps every 4 weeks to smooth your income. Certainly spend a bit of time looking at this every month and pre-warn your Boss so she knows that the day you get paid can potentially affect your benefit top up.
Good luck and fingers crossed for you.
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