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For most small business owners in the beauty and fitness industries, payroll is handled in-house. Did you know that your efforts deposit approximately $2.4 trillion dollars—that’s 70% of the US Treasury’s annual revenue?

Your Industry’s Payroll Is Different—Shouldn’t Your Software Be?

Whether your employees are paid hourly, salaried, commission-based, or you’re paying booth renters and independent contractors, payroll is central to your daily operations. This is particularly true in the beauty and fitness industries, where an average staff might include several different payroll structures. Here’s how you can use Vagaro to structure, organize and automate payroll functions, to make sure every payday counts.

Automation Makes it Easier

In salons, spas, barbershops, gyms, and fitness centers, a small business owner’s staff may be a mix of several different payroll structures. This can make manually tracking each staff member a challenge. Which is why whether you opt to hire a dedicated bookkeeper or payroll professional, having software that automates payroll calculations simply makes your daily operations easier. Automated payroll software additionally provides you and your staff a peace of mind that comes with protection against human error. With automated, integrated software, once you’ve structured each employee’s payroll profile, their transactions are automatically calculated for you each pay period.

One Software Manages Multiple Payroll Structures

How you operate your payroll management is contingent on your state’s labor laws and the way your business is structured. When in doubt, visit the IRS website to make sure that however you set up your payroll, you’re compliant with both local and federal regulations. This is particularly important when it comes to payroll for employees versus independent contractors and booth renters. Many hairdressers, massage therapists, personal trainers, barbers, and yoga instructors are categorized as independent contractors, so it’s vital to make sure their payroll is structured correctly.

Set Role-Based Hourly Pay

Vagaro's role-based hourly pay feature simplifies your payroll even further by allowing you to set up pay rates based on different job roles, making it easier to manage payroll and taxes, and ensuring that employees are compensated fairly.

Role-based hourly pay significantly streamlines the payroll process, saving time and reducing errors. Employers can easily adjust pay rates as needed, calculate paychecks, track hours, and ensure that everyone is paid accurately and on time. Clearly defining pay rates for distinct roles enables you to avoid disputes and misunderstandings about pay, fostering greater transparency and fairness in the workplace. This, in turn, boosts your business’s reputation and ability to attract the most talented employees.

Image via KeepCalmAndPosters.com

That way, come tax season, you can run annual reports and be certain that none of your staff will be missing critical documentation. In many salons, spas, barbershops, gyms, and specialized fitness studios, you may also employ a mix of hourly, salaried, and commission-based staff. Some of these employees may be scheduled and require a time card, while others may not. The great news is, when you’re using Vagaro software, you can easily manage payroll structures simply by choosing the payroll configuration specific to the employee. From there, you can further customize payroll structures for tips, deductions, discounts, and commissions. After that, the software will automatically identify withholdings for each payroll period, making it easy to stay on top of wages.

Now, Complete Your Payroll with Vagaro & Gusto!

Vagaro’s new integration with Gusto takes your business to the next level of full-service payroll. Now, when you sign up for Gusto payroll processing for small business through your Vagaro account settings, you’ll be able to try Gusto's payroll processing for three months—absolutely free! Sync hours and earnings, easily onboard new staff, and complete payroll for your business, no matter what payment structure you use. If you want to give yourself some extra time and cross payroll off your "To-Do" list, integrate your Vagaro software with Gusto today!